2 overbought cryptocurrencies to avoid trading now

As the cryptocurrency market continues to search for a breakout after the October 10 crash, several assets are overstretched with increased trading activity. However, this capital inflow has pushed some assets into overbought territory, with relative strength index ( RSI ) readings surpassing the 70 threshold. Notably, assets in this overbought zone may be poised for a possible correction or consolidation in the coming ￰0￱ Gold (PAXG) PAX Gold (PAXG) is trading around $4,213.22, elevating its 24-hour RSI to 87.16, well above typical overbought ￰1￱ RSI and price chart.) On the other hand, privacy-focused asset Zcash ( ZEC ) has been on an upward tear in recent days, trading at $256.69 as of press ￰2￱ RSI has reached 73.29.

ZEC’s rally has been fueled by renewed enthusiasm for privacy coins, which many investors view as defensive or differentiation plays in crypto markets. PAXG, ZEC RSI, and price chart.