While the cryptocurrency market is blown away with a bearish roar, there is this one analyst who predicts a bullish stance for Cardano.
A closely followed and leading analytics firm, Santiment is of the opinion that one of the on-chain metrics is pointing towards Cardano’s opportunity for ADA bulls.
This analytics firm points towards Cardano market value to realized value (MVRV), which indicates the average profit or loss of all coins that are in circulation at a given price and this indicator can be used to suggest price reversals.
In accordance with Santiment, The altcoin’s MVRV has reached a level that has proved to be historically a bullish turning point for ADA.
“Cardano’s average trading returns on the 30-day mid-term interval has fallen below -15%. This is historically an MVRV level when ADA and many other altcoins see at least a short turnaround in prices to alleviate the losses mounting on networks.”
This analytics firm, Santiment is leaning towards the stock market and says though Cardano is set to take off, generally crypto mostly remains dependent on stock markets.
Until the Federal Open Market Committee (FOMC) completes its meeting scheduled for the next month, Santiment says the cryptocurrency market will remain in the same price pattern.
“A trend that may continue until the next FOMC meeting in May, crypto markets remain firmly entrenched in the same price patterns as the SP500 and equities markets. The Fed recently announced that a half-point interest rate hike is likely.”
At the time of reporting, Cardano is trading at $0.8323 with a plunge of 6.91% over the last 24hrs.
On the other hand, the firm Santiment taking Bitcoin into account asserts that the increased whale stablecoin transactions or transfers that are worth over $100,000 have preceded local tops and bottoms for Bitcoin.
The analytics firm which is keeping a close watch on the surged stablecoin TrueUSD (TUSD)’s whale activity quotes that deep-pocketed investors are accumulating Bitcoin.
“TrueUSD, crypto’s 6th largest stablecoin, is seeing a spike in whale transactions today. The past six hours has been one of the 10 largest stretches in $100k+ transactions this year. Historically, whale transaction spikes are a sign of accumulation.”