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According to on-chain analytics firm Santiment, Cardano posted new highs in key metrics when its price plunged in the wake of SEC lawsuits against Coinbase and Binance.
The SEC lawsuit filed against the two biggest crypto exchanges labeled Cardano's ADA as an unregistered security. Cardano Builder IOG maintains that under no circumstances does ADA qualify as a security.
📈 The #Cardano capitulation happened more notably than other #altcoins during Friday's crash. After prices fell -35% between June 5-9, the #buythedip opportunity came when $ADA volume, address activity, and social dominance all hit 2023 highs on Saturday. https://t.co/GJ1teKN3ed pic.twitter.com/ni5MILllNr
— Santiment (@santimentfeed) June 12, 2023
Unexpectedly, stock brokerage app Robinhood stated on June 9 that it would be delisting ADA and a few other tokens from its platform. This came before ADA's price fell by nearly 35%.
In particular, the cryptocurrencies cited in the SEC lawsuits experienced significant drops, exactly like ADA, as cryptocurrency prices dropped all around.
Cardano sets yearly highs in key metrics
Amid the general cascading of prices on the market, on-chain analytics firm Santiment highlights an intriguing development that occurred on the Cardano network as prices fell.
As Cardano's trading volume, address activity and social dominance increased to a 2023 high during last Friday's sell-off, Santiment noted that ADA's capitulation occurred more notably than with other altcoins:
The Cardano capitulation happened more notably than other altcoins during Friday's crash. After prices fell -35% between June 5-9, the buy-the-dip opportunity came when ADA volume, address activity, and social dominance all hit 2023 highs on Saturday.
The on-chain analytics firm noted that this seemed to mark the buy-the-dip opportunity for Cardano as the price hit bottom.
Tomiwabold OlajideAccordingly, Cardano rebounded after posting its worst seven-day performance since May 2021. On June 12, the price of ADA increased to $0.28, up almost 26% from the previous week's six-month low of $0.23.
The uptick coincided with advances elsewhere on the cryptocurrency market, which suggested that investors had bought the dip.
At the time of writing, ADA was marginally up in the last 24 hours to $0.284, reaching intraday highs of $0.286.
Alex Dovbnya
Vladislav Sopov
Dan Burgin