Santiment analytics team has tweeted that at the moment ADA has hit the lowest relative position in relation to the realized value of the token since early 2019. This means, the price may double now, since ADA seems to be undervalued.
MVRV Z-Score reaches a significant level
The tweet stresses that this is “a sign of undervaluation based on average trader loss”. Now, ADA’s MVRV Z-Score has reached -1.35 for the first time in 45 months, that is, since January 2019.
Last time this level was reached, the price of the coins surged 2x during the three months that followed.
📊 #Cardano now sits at its lowest relative position compared to its realized value since Jan, 2019. This is a sign of undervaluation based on average trader losses. $ADA's price doubled the following 3 months the last time its MVRV Z-Score hit this level. https://t.co/D8Bwk2GWEB pic.twitter.com/gnOuGVqqOq— Santiment (@santimentfeed) October 22, 2022
Community remains bullish on ADA
Two days ago, Santiment tweeted that the crypto community remains bullish on several coins, including ADA, XRP, Bitcoin and BNB.
To measure this social sentiment, Santiment team analyzed manifold posts on Twitter and other social media platforms. Therefore, these metrics for ADA and XRP remain bullish despite the recent bearish reversals in the prices of these coins.
At the time of this writing, Cardano’s ADA is changing hands at $0.3493, showing a rise by 4.22 percent in the past 24 hours.