• Cardano (ADA) and XRP have lagged in the recent crypto market rally, with lower profit margins and prevailing bearish sentiment.
  • While some metrics suggest potential price increases, both tokens face mixed indicators and uncertain volatility.

The cryptocurrency market has recently experienced a bullish wave, benefiting many investors. However, not all cryptocurrencies have shared in the prosperity. Specifically, Cardano (ADA) and XRP have lagged behind, showing lower profit margins compared to other top cryptocurrencies like Bitcoin (BTC).

Underwhelming Performances of XRP and ADA

Sentiment around XRP and ADA remained bearish last week. According to Santiment’s data, only 78% of XRP’s supply was in profit, significantly lower than Bitcoin and Ethereum, which stood at 98.3% and 95.1%, respectively. Cardano’s situation was even more concerning, with just over half of all ADA being in profit.

AMBCrypto’s analysis highlighted that both XRP and ADA maintained a negative weighted sentiment throughout most of last week. This indicates that bearish sentiment was dominant in the market for these tokens. While XRP’s price showed minimal movement, trading at $0.5239 with a market capitalization of over $29 billion, ADA showed some optimism. Its weekly chart revealed a price uptick of more than 3%, reaching a value of $0.4653 and a market capitalization of over $16.6 billion.

Will XRP and ADA Earn Investors Profits?

To assess whether XRP and ADA might see a price increase, AMBCrypto analyzed their on-chain data. Both tokens’ Market Value to Realized Value (MVRV) ratios improved over the last week, suggesting a bullish outlook. Additionally, their fear and greed indexes were neutral, indicating potential price volatility.

Examining the daily charts, XRP’s price has been consolidating within a bullish pattern for several weeks. It is currently on the verge of a breakout, which could allow XRP’s price to retest its March highs in the coming weeks. For Cardano, its Money Flow Index (MFI) showed a sharp increase, and its Relative Strength Index (RSI) moved upward, indicating high chances of a price rise. However, the Chaikin Money Flow (CMF) for Cardano showed a negative trend, which could pose challenges.

While the broader cryptocurrency market enjoys a bullish phase, XRP and ADA have struggled to keep up. Their current market metrics suggest a mixed outlook, with some indicators pointing towards potential growth while others hint at possible challenges. Investors should closely monitor these tokens for any significant changes in their trends and sentiments.