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Flare Network Achieves Milestone with Over 1 Billion FLR Tokens Burned

Albert Brown
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Flare Network Achieves Milestone with Over 1 Billion FLR Tokens Burned

Flare Network has surpassed 1 billion $FLR tokens burned, enhancing ecosystem health with a 2.1B FLR burn plan, reducing dilution and boosting incentives.

The Flare Network team burned 66 million FLR tokens today, essentially bringing the total amount of burned FLR above 1 billion. This event is part of an ongoing strategy to enhance the health of its ecosystem by reducing token supply.

FTSO.AU, an infrastructure provider on the Flare Network previously called attention to the event, confirming in a post on X that the EVM-based Layer 1 blockchain is set to surpass a significant milestone by burning over 1 billion FLR tokens. 

Ongoing Flare Token Burns

The Flare Networks team has actively pursued a deflationary token policy, burning unclaimed rewards and transaction fees to reduce the circulating supply of FLR. This includes a considerable tranche of tokens originally allocated to early backers, which will not be distributed as planned. 

Instead, these tokens are being burned in alignment with the Flare Improvement Proposal, FIP.01, which impacts how token allocations to equity shareholders are handled.

Following the latest burn exercise, the Flare Networks team has now incinerated 1,042,485,039 (1.042 billion) FLR through various means, including transaction fees and unclaimed FlareDrops. 

The planned burn of 2.1 billion FLR tokens represents more than 2% of the total supply and almost 40% of the initial allocation for investors. By removing these tokens from circulation, Flare aims to decrease competition for future distributions and uphold the value of community holdings.

FLR Market Movements and Community Impact

The recent token burns have played a role in the financial metrics surrounding FLR. Despite a slight price decline in the past 24 hours, FLR has seen an overall price increase of 4.58% over the past week. Currently, Flare’s market cap stands at $1.12 billion with a circulating supply of 39 billion FLR tokens.

The previous incineration exercise happened in February, when Flare Networks executed a substantial burn of 66.29 million FLR tokens. The FLR tokens were worth $1.94 million based on February’s market rates. Like the most recent transaction, this burn was transparently executed, with transaction details publicly shared to emphasize accountability.

In addition to these burns, Flare has seen increased adoption, highlighted by its recent listing on Bitvavo, the largest exchange in the Netherlands. This addition could help enhance visibility and accessibility of FLR, particularly within the European market.

SEC Labels Upcoming Ripple Stablecoin Unregistered Crypto Asset  

Lele Jima
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SEC Labels Upcoming Ripple Stablecoin Unregistered Crypto Asset  

Even though Ripple has not yet launched its highly anticipated stablecoin, the U.S. SEC has already categorized the upcoming USD-backed token as an “unregistered crypto asset.” 

The SEC made the classification in its reply to Ripple’s opposition to its opening remedies brief. Prominent XRP community figure WrathofKahneman (WOK) shared the development on X today. 

SEC Labels Ripple’s Stablecoin Unregistered Security 

The SEC classified Ripple’s stablecoin as an “unregistered crypto asset” while shedding light on the company’s history of selling XRP as an unregistered security. 

According to the SEC, Ripple has been involved in XRP’s unregistered sales since 2013. Moreover, it disclosed that the company is also planning to issue a stablecoin deemed an unregistered crypto asset. 

Furthermore, the SEC pointed out that Judge Analisa Torres held that Ripple’s sales of XRP to institutional clients from 2013 to 2020 constituted investment contracts. 

The regulatory agency added that Ripple did not dispute that all its post-complaint institutional sales violated the law. 

The SEC’s claim elicited reactions among XRP community members, with WrathofKahneman saying: 

“Feels like they’re trying to sneak a little something extra in.” 

Ripple Unveils Plans to Launch a Stablecoin 

In April, Ripple revealed plans to venture into the stablecoin market, a sector expected to surpass $2.8 trillion by 2028. Ripple intends to enter the market early, with plans underway debut a stablecoin on the XRP Ledger (XRPL) and Ethereum networks later this year. 

The company said the forthcoming stablecoin would bridge the gap between traditional finance (TradFi) and the crypto sector. Despite Ripple’s claim, many believe the motive behind the stablecoin extends beyond fusing the worlds of crypto and TradFi.  

In particular, pro-XRP lawyer Fred Rispoli asserted that Ripple intends to launch the stablecoin to cater to its United States-based ODL partners. This implies that ODL customers in the U.S. can leverage the stablecoin for cross-border settlements instead of XRP. 

The SEC wants Judge Torres to impose a permanent injunction on Ripple’s future ODL-related XRP sales to prevent the company from further violating federal securities laws. 

Should the judge grant this request, Ripple can still offer ODL services in the United States. However, U.S. clients would utilize Ripple’s forthcoming stablecoin instead of XRP for ODL transactions. 

Cardano Price Forecasted to Hit $10 by Top Analysts

Abdulkarim Abdulwahab
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Cardano Price Forecasted to Hit $10 by Top Analysts

While Cardano (ADA) currently underwhelms crypto enthusiasts, multiple analysts have re-emphasized its potential to soar by 2,100% to $10.

In recent times, Cardano has been at the mercy of the bears, crashing to price levels last seen in December 2023. Currently, Cardano trades at $0.4421, with a 4.1% gain in the last seven days. 

However, these gains have not helped ADA recover all the substantial losses it incurred in the past weeks. In particular, Cardano established a new yearly high of $0.7966 on March 4. By May 1, it had collapsed by 47.33% to $0.4195.

With the crypto market entering a mini-recovery mode, top voices in the crypto community have updated their outlook for ADA. They see Cardano creating a new all-time high within the next seven months. 

Cardano to Soar 1,935% in 2024

Among the leading voices projecting a new peak for ADA in 2024 is Altcoin Daily, a well-known platform with millions of followers on X and YouTube. Altcoin Daily boldly asserted that ADA is headed for $9, emphasizing it would hit the target in 2024. 

However, the platform highlighted no specific factor that could enhance Cardano’s ascent to the loft target. Its proposition chiefly relies on the widely anticipated post-halving bull rally.

Notably, ADA achieved $3.10 at the height of the 2021 bull season. Altcoin Daily’s suggestion of $9 in 2024 implies a potentially higher value by 2025 when the cycle’s bull run is forecasted to begin cooling off. Nonetheless, ADA demands a 1,935.74% growth within the next seven months to hit $9.

In a separate conversation, X user “CRYPTO THRO,” with 115.2K followers, proposed a 2024 target of $7 for Cardano. Meanwhile, other market commentators like Ali Martinez and X user Lucid believe Cardano’s peak value for the ongoing bull season is $10. 

ADA Headed for $10?

Unlike others, Martinez has frequently referenced historical trends to support his projections for Cardano’s potential peak.

In his most recent analysis, Martinez highlighted that Cardano appears set for a significant bull run. He noted that the recent 50% decline in ADA’s price might represent a prime buying opportunity.

He drew parallels to 2019 when Cardano experienced a comparable 50% price correction before rebounding. In particular, the analyst stressed that the rebound from the dip drove Cardano by 4,095%.

Concluding the analysis, Martinez forecasted up to a 21-fold growth from the recent low to potentially reach a new ATH at $9.982.

Stuart Alderoty Says Ripple is Close to Ending SEC Lawsuit

Lele Jima
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Stuart Alderoty Says Ripple is Close to Ending SEC Lawsuit

Stuart Alderoty, Ripple’s Chief Legal Officer (CLO), has expressed optimism about the company drawing closer to the end of the SEC’s lawsuit. 

He made the comment shortly after the SEC publicly submitted its redacted remedies-related reply and supporting briefs to Ripple’s opposition. According to Alderoty, the SEC’s remedies reply brings Ripple closer to putting the lawsuit behind it. 

Meanwhile, Alderoty acknowledged that while Ripple is now close to seeing the end of the SEC lawsuit, it is unfortunate that other crypto businesses are just starting the process of legal tussle against the regulatory agency.

Multi-Year Legal Tussle Approaches Its End 

For the uninitiated, the SEC v. Ripple lawsuit officially commenced in December 2020, when the regulator charged the payments company with violating U.S. securities laws by offering and selling XRP as an unregistered security. 

The legal tussle had a devastating impact on Ripple’s business and its affiliated cryptocurrency XRP especially in the U.S.  While Ripple changed its business strategy, focusing mainly on non-U.S. clients, multiple trading platforms in the country, including Coinbase and Kraken, delisted XRP. 

Interestingly, these exchanges reversed their positions and relisted the coin after Judge Analisa Torres declared XRP programmatic sales non-investment contracts. 

It has been nearly three and a half years, and the lawsuit is still ongoing. Nonetheless, the SEC’s final reply brings Ripple an inch closer to the end of the multi-year legal tussle. 

Following the SEC’s reply, Judge Torres will now schedule a date to issue the final verdict. Although the verdict can be released at any time, popular crypto expert Ashley Prosper expects it to come between July and September. 

While Ripple is almost at the end of its battle, other crypto-related businesses, including Coinbase, Binance, and Kraken, are just starting their own. The SEC has also issued a Wells Notice to Ethereum and Robinhood, suggesting that an enforcement action is imminent. 

Ripple CLO Slams SEC Reply 

Meanwhile, Alderoty took a swipe at the SEC over its remedies reply. He accused the regulator of not faithfully applying the law as part of efforts to deceive the judge. 

Despite this, the Ripple CLO expects the judge to be impartial and fair in her remedies ruling. 

Did SEC Take an Indirect Shot at Other International Financial Authorities? 

In a follow-up tweet, Alderoty pointed out that the SEC disregarded other international financial regulators in its recent filing. According to the Ripple CLO, the SEC likened crypto licenses issued by these international regulators to nothing more than fishing licenses. 

He attached an excerpt from the SEC’s reply brief, showing how the SEC indirectly made the characterization. 

“This argument [Ripple using the licenses it obtained from other jurisdictions to back up its claim of not planning to violate U.S. securities laws in the future] is akin to saying a New York restaurant need not obtain a liquor store license because it obtained a fishing license in California,” the SEC said in its reply.  

 

This Altcoin Expected to Cross $500M Market Cap Amid 118% Price Spike

Albert Brown
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This Altcoin Expected to Cross $500M Market Cap Amid 118% Price Spike

WadzPay Token (WTK) currently boasts a $44 million market cap amid a 118% weekly price spike, but some commentators believe this market cap should be above $500 million.

The cryptocurrency community has expressed excitement over the current market capitalization of WadzPay Token (WTK), which currently stands at $44 million. This increase in market cap comes amid an impressive price run recorded by WTK.

However, some community members have pointed out that this valuation is especially low when compared to other cryptocurrencies that have established legal clarity in the UAE. One user projects that, like such cryptocurrencies, WTK ought to command a market cap exceeding $500 million. 

Notably, WadzPay received approval from the Dubai Virtual Assets Regulatory Authority (VARA) in November 2023.This commentary comes post-upswing in WTK’s market performance, with substantial gains in both weekly and daily metrics. The company offers an interoperable, agnostic SaaS platform to enable CBDC and digital asset-based transactions for faster, more secure, and cost-efficient payments. On its hand, WTK token enables users to conduct transactions at e-commerce and retail merchants via the WadzPay payments model.

The increasing visibility of WadzPay in the distributed ledger technology (DLT) payment landscape was highlighted during its participation in the Digital Currency Conference 2024, an event that also featured major players like Ripple. 

This appearance sparked discussions within the cryptocurrency community, with figures such as Minus Wells, CEO of M&M Network Security, speculating on WadzPay’s potential to carve out a significant market share in the sector. The conference spotlight has potentially contributed to the heightened interest in WTK.

WadzPay Price Surge and Market Performance

As a result of the interest, WadzPay Token has recently seen an increase, recording a 12.58% rise over the last 24 hours and a 118.46% surge in a week. These gains significantly outpace the general market trend, with the global crypto market up by 5.70%. 

The price of WTK currently stands at $0.08732, with a trading volume of $2,578,408.13. Its volume has spiked 49% in 24 hours amid the growing buying interest. Notably, for WTK to secure a $500 million market cap, its price will have to skyrocket by 1,045% to $1.

WadzPay WTK 1D Chart
WadzPay 1D Chart

Meanwhile, technical indicators reinforce the bullish sentiment surrounding WadzPay Token. The 50-day Exponential Moving Average (EMA) illustrates a medium-trend upward trend, with the current price of WTK maintaining above this line.

However, the Relative Strength Index (RSI) has reached 70.83, approaching the overbought territory. This condition hints at a potential stabilization or pullback in price as some investors might begin to realize profits.

Wall Street Analyst Says XRP Low Price May Be Last as There Will Be No Looking Back When XRP Rises

Abdulkarim Abdulwahab
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Wall Street Analyst Says XRP Low Price May Be Last as There Will Be No Looking Back When XRP Rises

Wall Street analyst Linda Jones has emphasized that the present low valuation of XRP might be its final sighting at such levels, asserting that once it gains the expected bullish traction, there will be no turning back.

Jones voiced this sentiment in a series of posts on X yesterday, discussing why XRP remains a cheap buy in a bull market. At the time of reporting, XRP trades for $0.5219, down by 12% from its value a month ago.

Over the past nine months, XRP has hovered around the $0.4 and $0.7 price levels, with the $1 level last seen three years ago. Emphatically, it has consistently stayed within $0.5, the same range it traded at in mid-2018.

Many in the crypto community have expressed concerns about this underwhelming performance. Despite this, leading industry commentators continue to assure investors that a bullish phase for XRP is on the horizon to alleviate their worries.

Wall Street Analyst Explaining Why XRP Bulls Are Coming

Linda Jones recently provided grounds for optimism among XRP enthusiasts about an upcoming rally. She based her view largely on the speculative scenario of XRP supposedly becoming a world reserve currency.

This speculation, which continues to gain traction, traces back to Ripple itself. In a blog post seven years ago, Ripple noted it remains “more committed than ever to the simple goal of making XRP the world’s reserve digital currency.”

Now, Jones pointed out the shifting trend where nations, particularly those in the BRICS group, are transitioning from relying on the U.S. dollar as a reserve currency to asset-backed reserves like gold.

Members of the XRP community believe that XRP is well-suited to serve as an asset-based reserve, drawing on the statement from Ripple and some of its executives. 

For instance, Ripple’s CTO David Schwartz, during a Twitter space last year, discussed the desire among nations for a decentralized reserve currency that no single country could dominate. He proposed that cryptocurrencies such as XRP could fulfill this role. 

Furthermore, Schwartz acknowledged that if the adoption of digital assets like XRP made some individuals wealthy, that was an acceptable outcome.

HODL XRP: There Will Be No Looking Back

Reflecting on these comments, the Wall Street analyst remarked that with XRP’s price at its current low, it might be the final opportunity to see it at such levels. Jones noted that the protracted SEC lawsuit is nearing its end. 

Moreover, she anticipates that stablecoin legislation will be enacted this year, followed by broader crypto legislation in 2025. “There will be no looking back [for XRP],” Jone remarked, emphasizing “HODL.”

Opposing View

While some community members thumb up this view, others share opposing perspectives. According to XRP enthusiast Rob Licker, the reflected narratives “are so old, antiquated hopium.” 

He contended that the likelihood of XRP becoming a global reserve currency within our lifetimes is practically nonexistent. Licker believes such views only serve to delude people into thinking they will become wealthy by merely holding a small amount of XRP, waiting for Ripple to “flip a switch.” 

Instead, he pointed out that the actual value of XRP will be influenced by the development and impact of projects like Anodos Finance, HelvetX Labs, Baysed Labs, xSPECTAR, and Flare Networks, which are actively building on the XRP blockchain.

Wait for Final Verdict Begins as SEC Files Last Reply to Ripple

Lele Jima
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Wait for Final Verdict Begins as SEC Files Last Reply to Ripple

The wait for the final verdict in the ongoing SEC v. Ripple lawsuit begins as the United States Securities and Exchange Commission submits its redacted remedies reply and supporting exhibits.

The regulatory agency submitted the redacted documents following deliberations with Ripple’s counsel yesterday to identify necessary redactions.

According to the filing, the SEC countered Ripple’s opposition to its opening remedies brief. For the uninitiated, the leading crypto payments company opposed the SEC’s request for an injunction and disgorgement, noting that both sanctions are unwarranted.

Ripple also requested that the court award a civil penalty of no more than $10 million instead of the $876 million the SEC requested.

SEC Replies Ripple’s Opposition

In response, the SEC contended that the court should grant the requested injunction, as Ripple might continue to break the law via its institutional sales of XRP.

According to the SEC, Ripple’s entire business revolves around selling XRP to institutional clients, including ODL customers. As a result, the agency asserted that Ripple is bound to violate the law in its future sales of XRP.

Additionally, the SEC argued that Ripple is not following the court’s order regarding post-complaint ODL sales. According to the SEC, Ripple should have engaged more in programmatic sales, which were found to be non-securities, instead of continuing to sell XRP to ODL customers (institutional clients), a type of transaction the court deems to be investment contracts.

Furthermore, the SEC slammed Ripple for attempting to relitigate the summary judgment ruling on ODL sales. The SEC pointed out that Ripple can only appeal the judgment on ODL sales and not relitigate it.

Regarding the issue of unwarranted disgorgement, the SEC characterized Ripple’s argument as meritless. The agency said Ripple did not dispute the fact that it made “ill-gotten” gains from its XRP sales. It also slammed Ripple’s reference to the Govil lawsuit, claiming that the firm narrowly interpreted the concept of financial harm.

The financial harm issue is relevant to the Ripple lawsuit as it would determine whether a disgorgement is warranted.

Lastly, the SEC advocated imposing a large penalty against Ripple to deter the company from future violations. The SEC argued that while Ripple asked the court to impose not more than $10 million in civil penalty, it failed to demonstrate how the “negligible” penalty could punish its violations.

Pro-XRP Lawyers React

Meanwhile, the SEC’s reply elicited reactions from legal practitioners, who took to X to analyze the filing and predict the ruling’s outcome.

Attorney Bill Morgan speculated that the court would grant the SEC’s permanent injunction request, affecting Ripple’s ODL sales.

While Attorney Morgan believes the court was wrong to classify ODL sales as investment contracts, he criticized Ripple for failing to distinguish the sales from institutional and programmatic sales during the summary judgment stage.

Nonetheless, he suggested that Ripple would need to address the matter on appeal.

Popular XRP advocate and lawyer Jeremy Hogan also reacted to the SEC’s reply, emphasizing that the briefs are finished. Attorney Hogan said the SEC added nothing new to the damages argument.

“Just waiting for The Judge now!” he remarked.

Crypto Enthusiasts Anticipate Final Verdict

As Hogan said, the crypto community is anticipating the final verdict, which many expect to be issued this year. As reported earlier, Ashley Prosper predicted that the judge would issue the verdict between July and September 2024.

Whether the judge would issue the ruling within, before, or after the predicted timeline remains uncertain. However, the ruling would mark the end of the lawsuit at the district court level.

Any aggrieved party can choose to appeal the verdict in the Second Circuit, thus potentially extending the legal tussle beyond 2025.

Top Analyst Sets $246 XRP Price Target Citing Historical Pattern after Bitcoin Halving

Sam Wisdom Raphael
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Top Analyst Sets $246 XRP Price Target Citing Historical Pattern after Bitcoin Halving

The Block Bull, a U.K.-based crypto analyst, sees XRP pushing toward $246 if it can sustain a historical pattern that occurred after the last two Bitcoin halving events.

The analyst called attention to this pattern in a recent analysis on X, citing data from a weekly chart. Per the accompanying chart, XRP traded within a symmetrical triangle from 2015 to March 2017. This consolidation coincided with the second Bitcoin halving, which occurred in July 2016.

XRP Historical Pattern Post Bitcoin Halving 

However, 252 days after the Bitcoin halving, XRP recorded a breakout at the peak of the symmetrical triangle in March 2017. This breakout led to a sustained price uptrend, which culminated in an interim peak of $0.4345 in May 2017. 

Notably, the interim peak came up 336 days after the Bitcoin halving, and 84 days after XRP broke above the symmetrical triangle. Following the interim peak, XRP continued to increase in price, eventually reaching the all-time high of $3.3 in January 2018, 539 days after the Bitcoin halving. This marked the end of the cycle.

This pattern again played out from 2020 to 2021. According to the chart, 252 days after the third Bitcoin halving, which occurred in May 2020, XRP witnessed a price breakout, recovering from the low of $0.2444 in January 2021. 

Following this breakout, the market saw a sustained uptrend, eventually leading to the $1.96 high in April 2021, 84 days after the breakout occurred. This cycle ended in November 2021, with XRP unable to surpass the all-time high registered in January 2018.

An Ambitious $246 Price Target

However, The Block Bull believes it can scale above this level this time around, as he anticipates a repetition of the pattern this cycle. Recall that the fourth and latest Bitcoin halving occurred last month. The analyst expects XRP to stage the much-needed breakout 252 days later, essentially in December.

XRP is then expected to reach the interim peak for this cycle 336 days after the Bitcoin halving, putting the timeline in March next year. Interestingly, The Block Bull sees XRP reaching a top of $246 during this cycle, marking a massive 47,017% price upsurge from the current value of $0.52.

While this price appears extremely audacious, others have projected similar targets in the past. Last July, crypto analyst EGRAG predicted XRP to reach $1.4, $3.7 or $200 depending on its trajectory in the bull run. Pundit Javon Marks also asserted last week that XRP could reach $200 amid the appearance of its “largest coil pattern ever.”

Several market watchers have also set multiple targets for XRP price after the latest Bitcoin halving. Analyst Leb sees XRP breaking above the $3.8 ATH, while CrediBULL expects XRP to rally 100% against Bitcoin after the halving. Meanwhile, XRP continues to trade at $0.5221, up 3.46% this month.

Shiba Inu Shows No Sign of Slowing Down Despite All FUDs

Abdulkarim Abdulwahab
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Shiba Inu Shows No Sign of Slowing Down Despite All FUDs

Shiba Inu continues to command a notable presence in the crypto scene amid the onslaught of negative energies from those who believe it is a scam project.

Over the past year, Shiba Inu endured significant FUD calls, most notably during the delayed unveiling of the ecosystem layer-2 blockchain Shibarium. Also, the routine silence of the ecosystem leader, Shytoshi Kusama, often triggered rounds of uncertainty and doubts.

Meanwhile, some of the most prominent FUD campaigns against Shiba Inu include allegations of Shibarium’s code plagiarism and the specter of influential figures like Ben “Bitboy” Armstrong threatening to expose the identity of Shiba Inu founder.

Despite these challenging periods, Shiba Inu has weathered the storm and maintains a firm footing in the crypto market. Shiba Inu survived as the development team continued to build even through the bear market.

X user Rodney, a widely followed meme coin lover, recently took to X to express admiration for Shiba Inu’s resilience. In his words:

“[Shiba Inu] has been through all types of FUD and probably the craziest bear market of all time. it’s still here.” 

How Shiba Inu Continues to Stand 

As Rodney rightly pointed out, Shiba Inu remains the second most valuable meme-themed crypto with a valuation exceeding $14 billion. Among the released developments that have kept Shiba Inu going is the launch of the blockchain Shibarium. 

Shibarium launched nine months ago and has registered a total of 417,371,936 transactions, according to the latest record. The blockchain has interacted with 1,794,736 wallet addresses and minted over 4.5 million blocks. 

Essentially, Shibarium has bolstered adoption for Shiba Inu, particularly in the crypto developer community, with transaction fees rivaling other networks.

Furthermore, through Shibarium, the Shiba Inu development team was able to manually burn over 43 billion SHIB tokens in under eight weeks. Now, Shiba Inu is gradually pivoting to an auto SHIB burn phase, which is currently in the testnet.

Besides, Shiba Inu enhanced its global branding by launching SHIB-themed products such as Shibacals and through collaborations with the fast-food store Welly and hardware wallet provider Tangem

Shiba Inu Shows No Sign of Slowing Down

Moreover, Shibarium’s effort for Shiba Inu does not end with burning SHIB tokens. The development team seeks to solve privacy concerns by developing a layer-3 blockchain. Last month, Shiba Inu raised $12 million to expedite efforts to launch this L3 blockchain under development. 

Additionally, through the years, Shiba Inu secured numerous partnerships with some of the most prominent players in the tech space. They include active collaborations with Zama, D3 Global, and one of the latest, CDSA, an association featuring giants like Apple and Netflix.

Cardano Price Forecast: This $10M Signal Could Drive ADA above $0.50

Mark Brennan
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Cardano Price Forecast: This $10M Signal Could Drive ADA above $0.50

Cardano’s price has gained 15% in the first 3 days of May 2024 but has since struggled to break above the $0.45 psychological resistance level. Crucial market data provide insights into the dominant social sentiment among ADA traders.

ADA Price Rally Stalls at $0.45, Performing Below Market Average

At the start of May 2024, the crypto market began a recovery phase that has seen the global market capitalization of altcoins surge by $142 billion over the past week.

The ADA price had initially raced to a 15% rally from $0.42 to $0.48 in the first three days of the month. But failure to reclaim the $0.50 milestone saw the fatigued Cardano bulls surrender most of the initial gains, as ADA prices retraced toward $0.45 at the time of writing on May 7.

Cardano ADA Price Action vs TOTAL2 Altcoin Market Capitalization
Cardano ADA Price Action vs. TOTAL2 Altcoin Market Capitalization

At current prices ADA price is up 7.7% for the month. But this performance appears underwhelming when compared to the current TOTAL2 chart trends which captures the overall performance of all crypto assets excluding Bitcoin (BTC).

As seen above the 142 billion growth on the TOTAL2 chart represents a 15% boost in the overall altcoin markets for May 2024 so far.

Speculative Traders Bet Another $10M on ADA Price Breakout

With ADA grossly underperforming amid dominant positive sentiment surrounding the overall altcoin market, some strategic traders have been spotted placing bullish bets on ADA. 

Coinglass’ Open Interest metric tracks changes in the value of capital invested in the perpetual futures contracts for a specific crypto asset. This provide insights into investors participation rate as well as the direction of their sentiment.

Cardano ADA Price action vs. Open Interest | Source Coinglass

As seen above, ADA’s open interest stood at $205.7 million on May 1. However, that figure has now increased by, $10.5 million to hit $216.2 million mark at the time of writing on May 7.

This $11.5 million increase represents a 6% surge in open interest over the past week, coinciding with a 7% growth in Cardano price. When open interest increases persistently during a price uptrend, it suggests that the majority of Cardano holders are placing additional bets in hopes of booking amplified gains when spot prices surge in the days ahead.

ADA Price Forecast: $0.50 Retest in Play

Cardano price is trading at $0.45 at the time of writing, down 8% from the monthly peak of $0.48 recorded on May 3. However, drawing insights from the $10.5 million surge in open interest, ADA price looks set to make another attempt at reclaiming $0.50 in May 2024.

Cardano ADA Price Forecast
Cardano ADA Price Forecast

Looking at the Bollinger band indicator on Cardano’s daily price chart, bulls face stiff resistance at the 20-day SMA price level at $0.47.

Cardano ADA Price Forecast Flipping that critical resistance level at $0.47 could set the stage for the ADA price to break above $0.50 for the first time since April 23.

However, in the event of a bearish price reversal, the $0.43 buy wall could offer short-term support, as depicted by the lower-limit Bollinger band indicator.

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