Highlights:
- Cardano’s bearish sentiment has spiked despite Chang’s hard fork upgrade news.
- Counter-trading market sentiments could be profitable in the long run.
- XRP flies high in its past 24-hour statistics, outpacing ADA.
Popular decentralized Proof-of-Stake (PoS) cryptocurrency, Cardano (ADA) bearish sentiment has struck a year peak despite an anticipated Chang hard fork release. The latest Cardano statistics appear surprising considering the broader market outlook and events revolving around the decentralized crypto protocol.
Aside from the imminent Cardano’s Chang hard fork upgrade, the broader crypto market has shown sustainable recovery signs. Consequently, most cryptocurrencies have recorded gradual price ascent, evidenced by attractive market actions.
For context, Bitcoin (BTC) is trading at about $65,280 after recovering from an estimated $54,000 low from previous weeks. Considering BTC’s position as the most-priced cryptocurrency, its past few days’ spikes underscore a remarkable market bounce back.
Cardano Records a Year-High Bearish Sentiment Peak
Data analytical platform Santiment has tracked Cardano’s unimpressive market actions and reported the implications of the uneventful run. Notably, Santiment presented its latest findings about Cardano via its verified X handle, boasting over 186K followers.
According to the data analytical platform, ADA’s poor market actions have resulted in the token recording a yearly peak bearish sentiment. Part of the tweet read thus, “Cardano is seeing the most bearishness in over a year.”
Bullish Narratives Emerge for XRP
Contrary to Cardano, Santiment also captured XRP in its tweet, noting that bullish sentiments have emerged for the cross-border crypto. “With XRP making an emergence this week, bullish narratives have erupted,” the data analytical platform stated.
Noteworthily, Santiment highlighted traders’ sentiments to reflect Cardano and XRP’s price actions. Hence, the emerging bullish sentiment for XRP might not necessarily stem from a technical market analysis. It probably stemmed from bias and possibly “fear of missing out (FOMO)” syndrome.
Counter-Trading the Crowd Bearish Sentiments
Having established traders’ roles in driving bullish or bearish sentiments for crypto assets, Santiment hinted at how profits could arise from counter-trading beliefs. Suggesting why investors should attempt counter-trading sentiments, Santiment commented, “Counter-trading the crowd’s consensus could prove profitable.”
🥳😱 Trader sentiment is following the price action. With XRP making an emergence this week, bullish narratives have erupted. On the other end of the spectrum, Cardano is seeing the most bearishness in over a year. Counter-trading the crowd's consensus could prove profitable. pic.twitter.com/yin7ZeRYqC
— Santiment (@santimentfeed) July 17, 2024
While Santiment’s claims might sound daunting, it has shown profitable outcomes at some points. Several crypto assets, including Shiba Inu (SHIB), PEPE, Solana (SOL), etc, have taken the market by storm from bearish sentiment angles. Therefore, Cardano should not be an exception, especially considering the Chang hard fork upgrade, which could happen within the month.
Conversely, the unstable market outlook could also result in amassing losses from attempting a counter-trading market sentiment approach. Hence, many factors will come in when contemplating counter-trading decisions. Some of these factors include traders investing what they can afford to lose and extensive market analysis and research.
ADA’s Market Actions Relative to XRP
ADA and XRP have displayed similar price actions, evidenced by their peak prices being around the $3 price region. Therefore, it is not unusual for both tokens to be compared, especially in market actions.
At the time of writing, XRP is flying high, following a 14.1% upswing in the past 24 hours. It is trading at approximately $0.62, with a 24-hour trading volume of about $3.8 billion. Interestingly, XRP is now the sixth most valuable asset, with a market cap of roughly $34.84 billion.
On the other hand, ADA is changing hands at about $0.45 after a 3.89% spike from the previous day. The decentralized crypto protocol is the tenth most-priced digital asset with a $16.06 billion market cap. Contrary to XRP, ADA’s trading volume is down by 12.93% with a $418.3 million valuation.
