Logo
Cardano Ecosystem

AMBCrypto

01/09/2024

·

43 views


Cardano's price drops 18% in 7 days: Do predictions promise a comeback?

ADA was down by more than 18% in the last seven days.  There was a chance of a trend reversal as Cardano’s Open Interest dropped along with its price.  2024 began on a good note for Cardano [ADA], at least...

Cardano's price drops 18% in 7 days: Do predictions promise a comeback?

ADA price drops 18% in 7 days: Do predictions promise a comeback?


  • ADA was down by more than 18% in the last seven days. 
  • There was a chance of a trend reversal as Cardano’s Open Interest dropped along with its price. 

2024 began on a good note for Cardano [ADA], at least on the development front, as a key metric surged by triple digits. However, this could not help ADA overcome the wrath of the bears.

At press time, ADA’s daily and weekly charts were both painted red.

Cardano’s development surged by 250%

On the 7th of January, Cardano Feed posted a tweet that highlighted the blockchain’s massive achievement. As per the tweet, Cardano’s development activity increased by nearly 250% over the last 30 days.

Cardano Surges Nearly 250% In Development Activity, Whale Buying Appetite – Details | Crypto Breaking News #Cardano #cardanofeed #trading #ADA #crypto #CardanoCommunity #bitcoin #blockchain @otaviolima #cryptocurrency #CardanoADA #btc $ADA https://t.co/tiJaI73LeQ

— Cardano Feed ($ADA) (@CardanoFeed) January 6, 2024

AMBCrypto then examined Santiment’s data to find what was going on with the blockchain. Our analysis revealed that ADA’s Development Activity spiked substantially in the last week.

Alongside this, the token’s Dev. Activity Contributor count increased quite a few times last week. High Development Activity is generally considered to be a positive sign, as it reflects the efforts made by developers to improve a blockchain.

Source: Santiment

ADA isn’t benefiting from this

Despite the massive hike in Cardano’s Development Activity, its native token’s price action remained under bears’ influence. According to CoinMarketCap, ADA was down by more than 18% in the last seven days.

In fact, in the last 24 hours alone, the token value dropped by 8%.

At the time of writing, ADA was trading at $0.4854 with a market capitalization of over $17 billion, making it the eighth-largest crypto.

A possible reason behind the price drop could be ADA’s dropping MVRV ratio. Not only that, but bearish sentiment around the token also remained dominant in the market, as evident from the dip in its Weighted Sentiment.

Nonetheless, whale activity around the token remained high as its whale transaction count graph was up.

Source: Santiment


Is your portfolio green? Check out the ADA Profit Calculator 


Though Cardano’s press time price action looked bearish, things might take a U-turn soon. Notably, ADA’s Open Interest dropped along with its price. Whenever Open Interest drops, it increases the chances of a trend reversal.

Its Funding Rate also declined in the recent past, meaning that derivatives investors were not buying ADA at its low price at the time of the report.

Source: Coinglass

AD

TapTax - Cardano Crypto Taxes Made Simple. Available Now!

Simplify your Crypto Tax experience! From a passive holder, to day trader, to NFT project, we have your taxes covered.BUY NOW!


Read Original Article on AMBCrypto

ORIGINAL SOURCE

https://ambcrypto.com/ada-price-drops-18...

Disclaimer: Cardano Feed is a Decentralized News Aggregator that enables journalists, influencers, editors, publishers, websites and community members to share news about the Cardano Ecosystem. User must always do their own research and none of those articles are financial advices. The content is for informational purposes only and does not necessarily reflect our opinion.


Genius Yields DEX Launched!

More from AMBCrypto

See more
USDT leads the way as stablecoin inflows cross $400M
AMBCrypto
USDT leads the way as stablecoin inflows cross $400M

01/31/2024

·

40 views

Related News

See more
Genius Yields DEX Launched!

Featured News

See more



    DEFAULTENGLISH (EN)SPANISH (ES)RUSSIAN (RU)GERMAN (DE)ITALIAN (IT)POLISH (PL)HUNGARIAN (HU)JAPANESE (JA)THAI (TH)ARABIC (AR)VIETNAMESE (VI)PERSIAN (FA)GREEK (EL)INDONESIAN (ID)ROMANIAN (RO)KOREAN (KO)FRENCH (FR)CZECH (CS)PORTUGUESE (PT)TURKISH (TR)