Cardano (ADA) recently took the most hits of the top ten crypto assets by market capitalization. At press time, the asset is down 3% in the last 24 hours, trading at $1.09. This represents the state of the wider crypto market, with assets slowly declining from last week’s highs.
The total crypto market cap stands at $3.4 trillion, declining 1%, while daily trading volumes are at $180 billion. Crypto prices tanked for several reasons, including activities in the derivatives market, meme coin swings, and high-profit taking. Data from Coinglass shows total market liquidations crossing $489 million in six hours.
Cardano’s Drive Loses Steam
Last week, Cardano gained momentum alongside other assets as on-chain factors flipped green. The asset’s drive was lauded by its community after it surged to multiple double-digit gains. The flipping of $1 was a bullish trigger as bulls leveraged on similar highs in Bitcoin and Ethereum.
ADA price maintains double-digit weekly gains amid a slump in the last two days. While weekly figures stand at 24%, monthly figures are at a staggering 189% rise. However, the frenzy faded, with the market cap falling to $33.7 billion. Other assets, such as BTC and ETH, posted 1% losses in the last 24 hours. Meanwhile, Solana and BNB recorded 2.69% and 3%, respectively.
As expected, meme coins were also part of the sharp decline due to low sentiments. Meme tokens move in line with major assets, although their low market capitalization and community frenzy can lead to massive swings. Dogecoin and Shiba Inu recorded similar losses, while smaller meme tokens saw double-digit outflows.
What’s Next For The Market?
ADA bulls project a rebound from this low, citing several macro and industry factors. A major key point is the incoming pro-crypto regulations in the United States, which will increase the space’s adoption and innovation. Bitcoin whales also showed signs of dragging sentiments out of the red zone with few accumulations. Crypto analysts suggested the market is in a bull run, with one expected surge following this dip.
“The steady decline in Bitcoin reserves across all crypto exchanges indicates that we are likely in the middle of a sustained bull run. Some market participants who have not properly accumulated Bitcoin earlier are likely doing so now, realizing that this is likely the last downward correction before another upward price surge,” a CryptoQuant analyst wrote.