The market is currently experiencing a downturn fueled by an unsettling combination of FUD (fear, uncertainty, and doubt). Adding to this challenging situation is the recent lawsuit filed against Binance by the US Securities and Exchange Commission.
In their legal action, the regulatory body has vividly portrayed Binance and Changpeng Zhao’s actions as part of “an extensive web of deception, conflicts of interest, lack of disclosure, and calculated evasion of the law”.
As a consequence of this disheartening news, Binance’s netflow on the Ethereum blockchain has plummeted to a staggering negative $776.8 million.
This event led to the crypto market dropping over 3% in the past 24 hours at the time of writing as significant cryptocurrencies slid, pulling the entire market downwards. Meanwhile, Bitcoin, for its part, continues to languish below the $27k region.
Thus, these top five cryptocurrencies are a must-avoid for investors if they want to stay in the green this week.
Netflow to Binance over the past 24 hours is $778.6M negative on Ethereum – $871.7M in and $1.65B out
Over the past hour, netflow on Ethereum continues to be negative at $35.7M on Ethereum – $14.8M in and $50.5M out
Track it here https://t.co/nwTgpXWhZY and filter for “Binance” pic.twitter.com/jnNAN0QKVy
— Nansen
(@nansen_ai) June 6, 2023
Top 5 Losing Cryptos Amid FUD Storm
PEPE
Once the bringer of significant gains to investors has now succumbed to the bearish forces of the market, according to Coingecko, the token is now down over 13% in the daily timeframe, following the market slippage that started this week.
The token’s current trajectory puts it on a path for more FUD for investors. At the moment, PEPE’s price oscillates above the $0.00000101 support range. With the bearish sentiment in the crypto market right now, it will take some time before bulls can knock a zero out of PEPE.
SAND
Despite a strong advertising campaign ahead of Paris Hilton’s concert on the 7th of June, investors’ and traders’ confidence in SAND was shaken as major cryptocurrencies fell in price. Coingecko noted a 17% decrease in the past 24 hours, a sign that more pain in the short to medium term is at hand.
PARIS: LIVE IN CONCERT
Owners of the 11 rarest 1/1 Avatars get a free ticket to @ParisHilton: Live in Concert on June 7th. This will be an unmissable evening with Paris + special guests at the Fonda Theatre in LA, featuring performances of her famous songs and brand new,… https://t.co/afDazic39p pic.twitter.com/MXNpF8RQID
— The Sandbox (@TheSandboxGame) June 5, 2023
SAND is currently sitting above the $0.4976 support range. Investors and traders could expect the bears to break through this support level if the bearishness in the market continues. If this happens, a drop to $0.4368 will occur.
SUI
Even as the news of the network’s partnership with Red Bull Racing hit the market, bears still found a way to crash the party. Recent market data shows that the SUI, the governance token of the network, is down 14% since Wednesday.
SUI has a newfound support range at $$0.7533. SUI bulls, however, should not expect much from this support level as it has no strength backing it. At the moment, investors and traders should monitor the market’s movement as the token has a significant correlation with Bitcoin.
Bearish Atmosphere Pervades
CFX
Bears brought havoc to CFX, continuing the bearish momentum after Conflux was affected by Multichain’s irregularities. As of writing, the CFX is down over 12% since yesterday, following the general market downturn.
At the moment, CFX bulls are trying to settle around the $0.2229 support level. If this support holds, we might be able to see a return towards $0.2354 in the long term. However, investors and traders should still be wary of short to medium term losses on the token.
AXS
Despite the successful release of Axie Origins on the Apple Store last month, the market downturn and FUD dashed any hope of gains in the short term. Coingecko data reveals that the token is down nearly 12% since Wednesday.
After enjoying gains made after the release of Axie Origins, bears are now trying to break through the $6.6 support level. If they are successful, a drop to $5.86 in the near future is possible if the market continues to pull AXS downward.
(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk)
Featured image from Binansal
