Analyst Warns: 2 Overbought Cryptocurrencies to Avoid This Week (September 2025)
- Which Cryptocurrencies Are Overbought Right Now?
- Why Are SOL and AVAX at Risk?
- Historical Precedents: What Happened Last Time?
- What Should Traders Do?
- FAQs
Crypto markets are buzzing, but not all that glitters is gold. A BTCC analyst flags two overbought cryptocurrencies ripe for a correction this week—backed by technical indicators and market sentiment. Whether you’re a swing trader or a long-term holder, this insight could save your portfolio from unnecessary turbulence. Dive into the data, historical context, and why these assets might be due for a pullback. ---
Which Cryptocurrencies Are Overbought Right Now?
As of September 2025, the BTCC research team identifiesandas notably overbought based on RSI (Relative Strength Index) levels above 70 and unsustainable price surges. SOL rallied 45% in the past month alone, while AVAX saw a 32% spike—both outpacing Bitcoin’s gains. Historical data from TradingView shows these tokens tend to correct sharply after such rallies.
Why Are SOL and AVAX at Risk?
1.: Despite its speed, Solana’s network has faced recurring outages—most recently in August 2025. Developers promise fixes, but traders are pricing in perfection. 2.: AVAX’s DeFi TVL (Total Value Locked) growth stalled this quarter, per CoinMarketCap. HYPE around subnet adoption hasn’t matched actual usage.
“When RSI hits these levels, it’s like a rubber band stretched too far,” says a BTCC market strategist. “Even strong projects need breathers.”---
Historical Precedents: What Happened Last Time?
In Q2 2025, SOL’s RSI hit 78 before a 28% drop over three weeks. AVAX followed a similar pattern in March 2025 after its RSI peaked at 75. Past performance doesn’t guarantee future results, but patterns matter.
---What Should Traders Do?
-: If you’re up, consider trimming positions. Greed kills portfolios. -: Both assets could offer better entry points post-correction. -: Look at undervalued alts like chainlink (LINK) or Polkadot (DOT).: This article does not constitute investment advice. ---
FAQs
How long do overbought conditions typically last?
Historically, 1-3 weeks—but monitor volume and news catalysts.
Are there exceptions to RSI signals?
Yes, in bull markets, assets can stay overbought for months (see bitcoin in 2021).
Where can I track these metrics?
CoinMarketCap for fundamentals, TradingView for technicals.
