TL;DR
- XRP vs. Cardano: Contrasting Fortunes While Ripple’s XRP enjoys a surge in price and investor confidence, Cardano’s ADA token faces the opposite extreme – the highest level of bearish sentiment in over a year.
- Cardano’s Potential Reversal: A Contrarian Bet? This negative sentiment surrounding Cardano might present a good entry point for contrarian investors. Analysts believe the token might be oversold and poised for a comeback.
- Chang Hard Fork: A Glimmer of Hope? Scheduled for the end of July, the Chang hard fork is a major upgrade for Cardano. It aims to simplify governance features.
Ripple’s native token XRP has recently delivered a massive rally, surging nearly 40% in the past week and reaching $0.60. However, its close competitor, Cardano (ADA), has not seen a comparable recovery and has been largely overlooked by crypto traders. Despite this, analysts now speculate that Cardano’s ADA may be poised for a potential rally shortly.
🥳😱 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
XRP Rally and Bullish Sentiment
On-chain data provider Santiment reports that trader sentiment closely mirrors recent price movements in the crypto market. Over the past week, XRP has experienced a notable surge, indicating bullish sentiment among investors.
In the last 24 hours, the XRP price has gained 11%, surging past $0.60. Daily trading volumes have also increased significantly, reaching $3.2 billion, driven by strong XRP whale activity.
Cardano’s Contrarian Opportunity
On the flip side, Cardano is currently facing its most intense wave of bearish sentiment in more than a year. According to Santiment, going against the grain and trading against the prevailing market sentiment might offer lucrative chances for traders.
As of press time, Cardano’s ADA price is trading 1.71% up at $0.4524, with a market cap crossing $16 billion. The ADA price has surged 17% over the last week, and technical analysis indicates that the bottom may already be in for Cardano, potentially signaling a major rally ahead.
Chang Hardfork and Cardano’s Future
All eyes are on Cardano’s upcoming Chang hard fork, scheduled for the end of July. This significant upgrade aims to introduce governance functionality gradually, making it easier for newcomers and those taking on new governance roles to adopt and onboard.
The recent Cardano network upgrade to v6.5.0, compatible with Cardano node 9.0.0, prepares the blockchain for the Chang hard fork. Despite these developments, cryptocurrency analytics firm Santiment notes that Cardano (ADA) currently faces the highest level of bearishness in over a year.
It appears that ADA has been disregarded by traders, despite the upcoming Chang hard fork. On the other hand, XRP is generating a lot of excitement with bullish stories, reaching $0.61 earlier this week. Market analysts often draw comparisons between XRP and Cardano because of their comparable price movements and dedicated fan bases.
Former Goldman Sachs analyst Murad Mahmudov, on the other hand, rejects both tokens as “cult meme coins.”. To sum up, as XRP experiences a surge, Cardano’s ADA presents an interesting opportunity for contrarian investors, especially with the potential impact of the Chang hard fork on its future path.
