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Cardano founder disputes false claims amid ADA price dip

Cardano founder disputes false claims amid ADA price dip

GrafaGrafa2024/09/12 03:55
By:Liezl Gambe

Cardano (CRYPTO:ADA) founder Charles Hoskinson recently addressed misinformation circulating about Cardano's staking mechanism. 

Some crypto analysts and commentators, including MartyParty, InvestAnswers, Mando, and CTO Larson, discussed Cardano's performance in a podcast, questioning the project's market capitalization despite its lackluster price action. 

During this discussion, Mando suggested that Cardano had restricted investors from unstaking their ADA, leading to misleading perceptions about the project's market dynamics.

Hoskinson quickly refuted these claims, labeling them as "lies and misinformation." 

He stated, "The lies and misinformation about Cardano have reached epic levels. Stake isn’t locked, but they still lie. Why does anyone trust these people anymore?" 

Despite his clarification, ADA's price continued to decline, dropping from $0.35 to $0.33. 

This shows that Hoskinson's efforts to set the record straight did not immediately influence the token's market performance.

Market data from Santiment shows the Market Value to Realized Value (MVRV) Long/Short Difference for Cardano is currently at -19.93%. 

This figure indicates that short-term holders of ADA have more unrealized profits compared to long-term holders, reflecting a bearish market sentiment. 

The MVRV metric typically implies that when long-term holders have more gains, the market is bullish, but the opposite is true for ADA at present.

From a technical standpoint, the daily ADA/USD chart shows a head-and-shoulders pattern, signaling a potential shift from a bullish to a bearish trend. 

The formation of this pattern suggests that ADA's price could fall further to around $0.31 if the current downtrend persists. 

However, there remains a chance for recovery. 

If the broader crypto market sees an uptick and there is strong accumulation of ADA, the price could potentially rebound to around $0.39.

At the time of reporting, the Cardano (ADA) price was $0.3574.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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