Top 8 Cryptocurrencies to Avoid in October 2024
As the crypto market evolves, not all tokens perform well over time. In October 2024, several cryptocurrencies stand out for their weak fundamentals, low trading volumes, or even delistings from major exchanges. This guide highlights the top cryptos to avoid, helping investors avoid potentially risky investments and make informed decisions.
8 Cryptocurrencies to Avoid in October 2024
| Name of the Coin | Why It Should Be Avoided? |
| Terra Classic (LUNC) | The Terra ecosystem is struggling post-collapse, extremely volatile, and with weak recovery efforts. |
| TerraUSD (USTC) | Failed stablecoin, lost its peg to the U.S. dollar, and holds little to no trust or utility anymore. |
| BarnBridge (BOND) | Suffering from low liquidity and slow project development, making it less attractive for investment. |
| Mdex (MDX) | The declining user base and trading volume lack significant updates or improvements in its decentralized exchange |
| FTX Token (FTT) | Heavily impacted by the FTX collapse; tied to a failed exchange and facing regulatory scrutiny. |
| WazirX (WRX) | Regulatory issues in India and decreased trading volume make it risky for long-term holding. |
| Linear Finance (LINA) | Low utility and facing stiff competition in the DeFi space, with a downward trend in market interest. |
| Mirror Protocol (MIR) | Weak fundamentals and declining use of synthetic assets led to low trading activity and liquidity. |
1. Terra Classic (LUNC)
Once a popular project, Terra Classic (LUNC) has seen a significant downturn following the catastrophic collapse of the original Terra ecosystem in 2022. Despite efforts to revive the chain, LUNC remains stuck with weak fundamentals and struggling development. The market confidence in LUNC has dwindled, with very low trading volume and a sharp drop in community engagement.
Major exchanges are moving away from the token, and even community efforts to burn supply haven’t done enough to support price recovery. Its association with the Terra disaster makes it highly speculative and risky, with the likelihood of any substantial recovery minimal. Avoiding LUNC ensures protection against volatile, potentially unsalvageable projects.
2. TerraClassicUSD (USTC)
Like its counterpart, LUNC, TerraClassicUSD (USTC) is still reeling from the collapse of the Terra ecosystem. USTC was originally a stablecoin meant to be pegged to the US dollar but lost its peg during the 2022 crash, plummeting to fractions of a cent. Efforts to restore the peg have failed, and USTC now functions as a highly speculative and volatile asset.
Its market volume is extremely low, and no concrete use case or recovery plan has emerged. Investors should be wary of this failed stablecoin, which now serves as a stark reminder of the risks associated with algorithmic stablecoins.
3. BarnBridge (BOND)
BarnBridge (BOND) entered the crypto scene with high hopes, focusing on risk tokenization, but has largely failed to gain traction. Its adoption remains low, and the development of its protocols has been slow, leading to dwindling investor interest. Market liquidity and trading volumes for BOND have remained disappointingly low, making it hard to enter or exit positions without significant price slippage.
Additionally, the token’s weak performance has led some exchanges to delist BOND, further reducing its visibility and accessibility. The lack of clear development progress or roadmap makes BarnBridge a project to avoid, especially for those looking for active and promising ecosystems.
4. Mdex (MDX)
Once touted as a decentralized exchange with promising features, Mdex (MDX) has failed to live up to expectations. The trading volume on its platform has significantly dropped, leading to less liquidity and fewer users participating in the ecosystem. As competitors like Uniswap and PancakeSwap dominate the decentralized exchange space, Mdex has struggled to maintain relevance.
Moreover, its platform has not been innovated or upgraded, making it increasingly outdated in the fast-evolving DeFi landscape. MDX’s declining usage and weakening fundamentals suggest it’s a risky investment that could continue to lose value in the coming months.
5. FTX Token (FTT)
Following the massive collapse of the FTX exchange in late 2022, the FTX Token (FTT) has become nearly worthless. Legal proceedings and ongoing investigations surrounding the exchange have caused FTT’s reputation to nosedive. The token’s utility was inherently tied to the now-defunct exchange, leaving it with no purpose in the current market.
Many exchanges have delisted FTT, leaving it with minimal liquidity and trading volume. The brand’s tarnished reputation and regulatory concerns surrounding FTX make FTT a dead-end asset for investors, offering no prospects or potential for recovery.
6. WazirX Token (WRX)
WazirX Token (WRX), associated with the WazirX exchange, has faced numerous regulatory hurdles and controversies, especially in India. The exchange has been under investigation for alleged money laundering, and its relationship with Binance has further complicated its position in the market.
WRX has seen its trading volume drop as trust in the exchange has eroded, and delistings from some platforms have followed. While WRX once had promise as a utility token for the WazirX platform, the regulatory uncertainties and loss of user confidence have made it a risky asset. Investors should be cautious and avoid exposure to WRX as its future remains uncertain.
7. Linear Finance (LINA)
Linear Finance (LINA) aimed to provide synthetic asset solutions within the DeFi space but has struggled to compete against established projects like Synthetix. Despite some initial buzz, Linear has not been able to maintain a consistent user base or developer engagement.
LINA’s trading volumes have plummeted, and its market capitalization remains low. Moreover, the project’s development has stagnated, with fewer updates and little innovation in recent months. With stronger competitors offering better services and more reliable products, LINA is increasingly becoming irrelevant. Investors should be cautious, as the project shows little sign of revival.
8. Mirror Protocol (MIR)
Mirror Protocol (MIR) once gained popularity for offering synthetic asset exposure to traditional financial markets via the Terra blockchain. However, Terra’s collapse has severely impacted Mirror Protocol’s viability. Its core offering, synthetic stocks, has lost traction due to the instability of the underlying infrastructure.
With Terra’s collapse, MIR’s value has dropped dramatically, and the trading volume has followed suit. Many investors have moved on to other DeFi platforms that offer more stability and better alternatives. Mirror Protocol’s weak fundamentals and lack of clear development direction make it a high-risk investment, one to avoid in the foreseeable future.
Why You Should Avoid Some Tokens?
When evaluating cryptocurrencies, there are several reasons why some tokens should be avoided, especially if they exhibit certain red flags –
Weak Fundamentals
Many tokens need a stronger foundation in terms of real-world use cases, development teams, or long-term goals. Tokens with unclear roadmaps or stagnating development often struggle to maintain value over time.
Low Liquidity and Trading Volume
Tokens with low liquidity make it difficult for investors to buy or sell without significant price slippage. Low trading volume indicates that there is little market interest in the token, increasing the risk of price manipulation and volatility.
Regulatory Concerns
Some tokens are tied to projects that face legal or regulatory issues. Governments across the world are tightening regulations around cryptocurrencies, and tokens tied to projects under investigation or subject to compliance issues may face delisting from exchanges or legal repercussions.
Exchange Delisting
When a token is delisted from major exchanges, it becomes significantly harder to trade and access. This typically happens when exchanges deem the token too risky or unprofitable, signaling to investors that the project is no longer viable.
Conclusion
When evaluating cryptocurrencies to avoid in October 2024, consider factors like weak fundamentals, low liquidity, and market volatility. While some coins may seem appealing, they often carry higher risks. Staying informed, conducting thorough research, and regularly reassessing your portfolio are crucial. Mudrex provides the tools and insights to help you confidently make these decisions. Always align your investments with your financial goals and risk tolerance, ensuring that you’re well-prepared for the ever-changing nature of the crypto market.
FAQs
Will October be a good month for crypto?
October is shaping up to be an interesting month for the cryptocurrency market, with many experts predicting a bullish trend.
Which crypto will boom in 2024?
AI-related tokens are garnering significant attention. These tokens have recently shown impressive gains, with expectations for further increases in market capitalization. As sectors like AI continue to evolve, they could present lucrative opportunities for investors.
What are the highest months for crypto?
Looking at the broader crypto landscape, certain periods have historically been more favorable for crypto, with October frequently recognized as one of the highest-performing months. Various factors, including market cycles and seasonal trading behaviors, may drive this trend.
