Is Cardano (ADA) in Danger of Being Overvalued? Key Indicators Raise Concerns

BE[IN]CRYPTO12-09

Cardano's Market Value to Realized Value (MVRV) Long/Short Difference nears 52.71%, signaling a potential correction. A rise in the Network Value to Transaction (NVT) ratio indicates ADA's market cap ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2490754382?lang=en_US&edition=fundamental","thumbnail":"https://beincrypto.com/wp-content/uploads/2024/08/bic_Cardano-covers_ADA_bearish-850x478.png","is_english":true,"pubTime":"2024-12-09 02:30","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2490754382","market":"us","top_or_hot":-1,"title":"Is Cardano (ADA) in Danger of Being Overvalued? Key Indicators Raise Concerns","media":"BE[IN]CRYPTO","content":"<div>\n<p>Cardano's Market Value to Realized Value (MVRV) Long/Short Difference nears 52.71%, signaling a potential correction.\nA rise in the Network Value to Transaction (NVT) ratio indicates ADA's market cap ...</p>\n\n<a href=\"https://beincrypto.com/is-cardano-ada-in-danger-of-being-overvalued/\">Source Link</a>\n\n</div>\n","source":"beincrypto_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Is Cardano (ADA) in Danger of Being Overvalued? Key Indicators Raise Concerns</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIs Cardano (ADA) in Danger of Being Overvalued? Key Indicators Raise Concerns\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-09 02:30 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://beincrypto.com/is-cardano-ada-in-danger-of-being-overvalued/><strong>BE[IN]CRYPTO</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Cardano's Market Value to Realized Value (MVRV) Long/Short Difference nears 52.71%, signaling a potential correction.\nA rise in the Network Value to Transaction (NVT) ratio indicates ADA's market cap ...</p>\n\n<a href=\"https://beincrypto.com/is-cardano-ada-in-danger-of-being-overvalued/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU2125909759.SGD","symbol_name":"Natixis Thematics Safety H-R/A SGD","start_time":0,"source_url":"https://beincrypto.com/is-cardano-ada-in-danger-of-being-overvalued/","article_id":"2490754382","we_media_id":null,"thumbnails":["https://beincrypto.com/wp-content/uploads/2024/08/bic_Cardano-covers_ADA_bearish-850x478.png"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2490754382","pubTimestamp":1733682600,"columns":[],"sourceInfo":{"source_id":"beincrypto_highlight","name":"BE[IN]CRYPTO"},"weMediaInfo":null,"summary":"Cardano's Market Value to Realized Value  Long/Short Difference nears 52.71%, signaling a potential correction.A rise in the Network Value to Transaction  ratio indicates ADA's market cap is growing faster than transaction volume.With ADA overbought near $1.30, technical indicators suggest a price swing towards $0.92 if selling pressure mounts.According to historical data, Cardano  may be approaching overvalued territory. This comes after an impressive 180% price increase over the last 30 days.For some investors, the timing might seem premature, especially with the much-anticipated altcoin season just beginning. However, on-chain indicators suggest that ADA might face a correction before establishing new highs.Apart from this, IntoTheBlock data shows a spike in the Network Value to Transaction  ratio. The NVT ratio is a metric used to assess a cryptocurrency’s valuation relative to the value being transmitted on the network.Cardano Network Value to Transaction  Ratio. Source: IntoTheBl","collect":0,"end_time":0,"defaultTopTitle":"beincrypto.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU2125909759.SGD":"Natixis Thematics Safety H-R/A SGD","LU2294711713.HKD":"BNP PARIBAS ENERGY TRANSITION \"C\" (HKD) ACC","LU2125154935.USD":"ALLSPRING (LUX) WF GLOBAL EQUITY ENHANCED INCOME \"I\" (USD) INC","LU1923622291.USD":"Natixis Thematics Safety R/A USD","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","LU2125154778.USD":"ALLSPRING GLOBAL EQUITY ENHANCED INCOME \"A\" (USD) INC","LU2357125470.USD":"BNP PARIBAS ENERGY TRANSITION \"CLASSIC RH\" (USDHDG) ACC","BK4097":"系统软件","LU0823414478.USD":"法巴经典能源转换基金","BK4547":"WSB热门概念","LU0823414551.USD":"BNP PARIBAS ENERGY TRANSITION \"C\" (USD) INC","LU2211815571.USD":"ALLIANZ POSITIVE CHANGE \"AT\" (USD) ACC","BK4096":"电气部件与设备","LU2125909916.SGD":"Natixis Thematics Safety R/A SGD","NVT":"nVent Electric plc","LU2360032135.SGD":"ALLSPRING GLOBAL EQUITY ENHANCED INCOME \"A\" (SGDHDG) INC","LU2506951792.HKD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (HKDHDG)       ACC"},"translate_title":"卡尔达诺（ADA）是否有被高估的危险？关键指标引发担忧","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"NVT":1},"content_text":"Cardano's Market Value to Realized Value (MVRV) Long/Short Difference nears 52.71%, signaling a potential correction.\nA rise in the Network Value to Transaction (NVT) ratio indicates ADA's market cap is growing faster than transaction volume.\nWith ADA overbought near $1.30, technical indicators suggest a price swing towards $0.92 if selling pressure mounts.\n\nAccording to historical data, Cardano (ADA) may be approaching overvalued territory. This comes after an impressive 180% price increase over the last 30 days.\nFor some investors, the timing might seem premature, especially with the much-anticipated altcoin season just beginning. However, on-chain indicators suggest that ADA might face a correction before establishing new highs.\nCardano Metrics Flash Bearish Signs\nOne key metric suggesting that Cardano could soon be overvalued is the Market Value to Realized Value (MVRV) Long/Short Difference. The MVRV Long/Short Difference checks if long-term holders have more unrealized profits at the current price or if short-term holders do.\nWhen the metric increases, it means long-term holders have made more gains. On the other hand, if it decreases or falls to the negative region, it means short-term holders have the upper hand.\nThis difference can also help spot when a cryptocurrency is undervalued or overvalued. Looking at historical data, Cardano’s price hit an overvalued point when the MVRV Long/Short difference hit 57.94% in March.\nCardano Market Value to Realized Value Long/Short Difference. Source: Santiment\nAs seen above, the metric’s reading has hit 52.71%, suggesting that ADA could be close to being overvalued again. If validated, then the altcoin’s price might undergo a notable correction.\nApart from this, IntoTheBlock data shows a spike in the Network Value to Transaction (NVT) ratio. The NVT ratio is a metric used to assess a cryptocurrency’s valuation relative to the value being transmitted on the network.\nWhen the ratio drops, it means that transaction volume has outpaced market cap growth, indicating that the token is undervalued. On the other hand, a rise in the NVT ratio, as it is currently, indicates that Cardano’s market cap has grown faster than the value transacted. If this remains the case, the ADA might be tagged overpriced, and the value might decrease.\nCardano Network Value to Transaction (NVT) Ratio. Source: IntoTheBlock \nADA Price Prediction: Lower Than $1\nFrom a technical perspective, the daily chart shows that the Bollinger Bands (BB) has expanded. This notable expansion indicates high volatility around ADA, suggesting that price swings in the coming days could be massive.\nBut besides that, the upper band of the BB tapped ADA’s price at $1.30. When the upper band of the indicator hits the price, it means it is overbought. On the other hand, when the lower band does that, it indicates an oversold status.\nCardano Daily Analysis. Source: TradingView \nTherefore, it appears that the Cardano token is overbought. Considering this condition, then Cardano’s price could decrease to $0.92. On the flip side, if buying pressure increases, this might not happen as ADA could rise above $1.40.\n\n\n\n\n🎄Best crypto platforms in Europe | December 2024\n\n\n\neToro\nExplore\n                      \n\n\n\n\n\nCoinrule\nExplore\n                      \n\n\n\n\n\nUphold\nExplore\n                      \n\n\n\n\n\nCoinbase\nExplore\n                      \n\n\n\n\n\n3Commas\nExplore\n                      \n\n\n\n\n\n\n\n\n🎄Best crypto platforms in Europe | December 2024\n\n\neToro\n\n\n\n\n\n\n\n\nCoinrule\n\n\n\n\n\n\n\n\nUphold\n\n\n\n\n\n\n\n\nCoinbase\n\n\n\n\n\n\n\n\n3Commas","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"-1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2490754382"}