Cardano is about to lose its volume lead, according to an analyst who updated his analysis of Bitcoin and Solana. If that happens, we could soon watch for an ADA trading outside of the top 10.
Jason Pizzino says Bitcoin is still in the dark
The popular analyst said that Bitcoin is currently gaining some uncertain momentum after seeing bottoms over the past week. At the time of writing, Bitcoin is still struggling to suppress the bears. The analyst says that the BTC price has fallen for the past six to seven days in any case.
Regarding Cardano, Pizzino said that ADA may be out of the top 10 soon, as it has been trading at the bottom of the last 20 months. Bad news about Cardano will have a negative impact on the rest of the altcoin market, according to the crypto analyst:
ADA has hit new lows. From $0.38, the trend is bearish. Therefore, if we get any negative news, the market crashes. The decline is greater than in other markets as the trend has dropped and the price has reached new lows.
Cardano is currently trading at $0.3713, where it last reached in February 2021. The 8th largest cryptocurrency by market cap has lost 88.07% since its ATH price. According to Pizzino, Solana is similarly crushed under the power of bears.
According to Pizzino, Solana, another rooted name in the top 10, is in a similar situation to Cardano. However, it did not fall much compared to its rival. Solana is currently trading at $30.59, which is below the July 2021 low.
“Cardano is the weakest”
Comparing Cardano to Solana and Ethereum (ETH), Pizzino says Cardano is the “weakest” of the three smart contract networks. According to the analyst, Ethereum is in a stronger position, leading the bliss:
ETH is higher near $1,280 and it is still above the $880 low. So in a stronger position. Solana is slightly weaker and ADA is weaker than the three.
The supply of Etehreum has dropped by about 6,000 ETH, or about $7.9 million, since Oct. This marks the first deflationary move of the Ethereum network. It’s been destroying more ETH than it has produced since moving from PoW to PoS via merge a month ago.
However, Ethereum’s long-term outlook is bearish amid persistent macro warnings prompted by the Fed’s raising interest rates to hot inflation. ETH remains vulnerable to these risks due to its consistently positive correlation with US equities. Therefore, a drop below the current ascending trendline will technically mean further decline.
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