3 Altcoins at Risk of Mass Liquidations in the Second Week

Which are these altcoins, and what are the risks of trading their derivatives?

1. XRP

As Canary Capital prepares to launch its spot XRP ETF on November 13th, short-term traders remain quite optimistic about XRP.

In addition, five XRP spot ETFs from Franklin Templeton, Bitwise, Canary Capital, 21Shares, and CoinShares have been added to the DTCC list. This development strengthens investor confidence that more XRP ETFs may be approved soon.

The 7-day liquidation map shows a significant concentration of potential long liquidations, indicating that many traders are expecting a rally in XRP prices this week.

However, the latest analysis from BeInCrypto shows a significant decline in new XRP addresses last week, indicating a decrease in interest from new investors. Furthermore, the MVRV long/short difference has narrowed, increasing the likelihood of a price correction.

If XRP falls to $2.10 this week, long positions could face liquidations of over $340 million. Conversely, if XRP rises to $2.75, short positions could face liquidations of approximately $69 million.

2. Zcash (ZEC)

The rally in Zcash (ZEC) shows no signs of slowing down in the second week of November. Although ZEC reached $750 before correcting from around $658, many traders still expect the price to reach $1,000.

The 7-day liquidation map shows that short-term derivatives traders are allocating more capital and leverage to long positions. This means they could suffer significant losses if ZEC corrects this week.

If ZEC falls to $540, long positions worth over $72 million could be liquidated. Conversely, if ZEC rises to $760, short positions worth approximately $44 million could be liquidated.

Analysts warn that after a 10-fold rally, ZEC could form a classic parabolic uptrend, possibly nearing the final stage of the pattern.

"I just sold 90% of my ZEC. I'm bullish on privacy, but parabolic charts rarely remain stable in the short term without a meaningful retrace. In my opinion, this is just too much short-term FOMO."

3. StarkNet (STRK)

StarkNet (STRK) surprised the market with a 30% daily gain in the second week of November, recouping losses from the previous month's sharp decline.

Many analysts suggest that STRK could break a long-term resistance line, potentially triggering a strong new rally.