Cardano (ADA) rally may be poised to continue following its impressive 65% price surge over the past week. This outlook stems from its historical performance and anticipated investor behavior.

Currently trading at $0.72 — its highest level since March — ADA could see further gains. This on-chain analysis reveals why this might happen, even though some analysts have called for a significant correction. 

History Suggests Cardano Breakout May Be Just Beginning

One key indicator suggesting this outlook is the Market Value to Realized Value (MVRV) ratio. The MVRV is a metric that compares the market value of a crypto asset to its realized value. This ratio identifies potential market tops and bottoms and offers insights into investors’ behaviors.

Typically, the higher the MVRV ratio, the higher the profitability of holders and their willingness to sell. However, when the ratio decreases, it means unrealized gains have reduced, and investors might not be inclined to liquidate their assets.

For ADA, the 30-day MVRV ratio is -7.27%, indicating that if all Cardano holders sell, the average return on investment could be a loss. Historically, when the ratio is at this level, it means that ADA’s price could continue to climb.

As seen below, it took an MVRV ratio of 55.56% for ADA to experience a correction in March. Therefore, if history repeats itself, Cardano’s price might rise much higher than $0.72 in the short term.

Furthermore, Robinhood’s relisting of the cryptocurrency suggests that demand for ADA might surge — particularly from the US. If that is the case, then the prediction of a higher value could become reality.

Also, the Historical In/Out of the Money (HIOM) metric, which assesses the difference in profitable addresses to gauge market momentum, supports this outlook. A decline in the metric indicates that more holders are out of the money, often discouraging new investments.

However, in Cardano’s case, the percentage of addresses in profit has risen, potentially encouraging sidelined investors to buy ADA in the short term. If this buying pressure materializes, it could drive the cryptocurrency’s value even higher.

ADA Price Prediction: 500% Hike in View?

On the weekly chart, the Cardano rally appears to be mirroring a trend from 2020–2021, during which ADA soared by 3,653%. This previous surge was triggered by a bullish crossover of the 20-week Exponential Moving Average (EMA) above the 50-week EMA.

During that period, ADA climbed from $0.061 to $2.29. Currently, the 20 EMA (blue) has just crossed above the 50 EMA (yellow), signaling renewed bullish momentum for the token. While a similar percentage rally may be unlikely, ADA could still see a substantial gain of up to 500% over the coming months if past performances influence future trends.

If that happens, ADA could rise to $2.03. This could also be accelerated by the rise in Bitcoin’s (BTC) price, especially as Cardano seems to have a strong correlation with it. However, if selling pressure intensifies, this might not happen. Instead, ADA could drop to $0.33.

Ripple’s (XRP) price has shattered a nearly three-year-long barrier, climbing to $1 for the first time since November 2021. The milestone comes amid renewed optimism in the cryptocurrency market, fueled by bullish sentiment following rising interest and demand for the token. 

With trading volumes spiking and investor confidence rebounding, the question now is whether XRP can sustain this momentum or if a correction is on the horizon.

The Ripple Token Breaks $1 Barrier After Almost Three Years

Earlier today, XRP’s price was $0.85. However, after a bullish engulfing candle appeared on the chart, the price spiked to $1.02, marking the first time the token had hit this level since the 2021 bull market.

This price increase coincides with the positive development around the altcoin since Donald Trump’s emergence as US president. But besides that, there have been several reasons why the Ripple native token has rallied to this point.

For instance, speculation around a potential XRP ETF has been gaining traction. Additionally, the altcoin experienced a significant uptick in institutional demand recently, coupled with its listing on Robinhood. These developments suggest rising interest in XRP within the U.S. market.

Furthermore, speculation that SEC Chair Gary Gensler, who has led the legal battles against Ripple, might resign has added to the momentum behind XRP’s surge. 

From an on-chain perspective, the increase in Open Interest (OI) appears to have been a significant driver of XRP’s momentum. Data from Coinglass shows that XRP’s OI surpassed $1 billion for the first time in August 2023 — after Ripple’s partial victory over the US SEC, highlighting heightened speculative activity around the token.

In terms of price movement, if OI continues to climb, XRP’s price could sustain its uptrend. This is because a high OI reflects increased liquidity in the derivatives market, which often fuels stronger price movements.

XRP Price Prediction: Overbought, But Rally May Go Ahead

XRP’s breakout began around November 5 when bulls vigorously defended the $0.50 support. Since then, XRP price has increased by over 100%. 

While the Relative Strength Index (RSI) on the 3-day chart shows that the XRP $1 price has entered overbought territory, bulls continue to push for further gains.

The Bull Bear Power (BBP) confirms this, as it measures the strength of bullish versus bearish forces. An increasing BBP shows that bulls are in control, while a decreasing BBP signals bearish dominance.

Currently, the BBP forms a large green histogram, indicating that bulls are driving the price higher. If this momentum holds, XRP could climb to $1.40. However, if sentiment shifts to the bearish side, the price may drop to $0.64.

The second week of November 2024 was an eventful one for the crypto market, such that many altcoins in the top 100 registered notable gains. However, out of these lots, BeInCrypto observed that the top altcoin gainers all fell into the meme coin category.

For some market observers, that may not be surprising as meme coins seem to have led gains on a number of occasions this cycle. That said, the top three altcoin gainers include Peanut the Squirrel (PNUT), frog-themed Pepe (PEPE), and Solana-based Bonk (BONK).

Peanut the Squirrel (PNUT)

PNUT, a token that recently gained attention, tops the list of the top altcoin gainers with an astonishing 2,091% surge over the past seven days. This dramatic rally was driven primarily by a surprise Binance listing, which sent shockwaves through the market.

While the development caused controversy, the meme coin’s market cap surpassed the $1 billion mark and is only inches away from reaching the $2 billion mark. On the 4-hour chart, PNUT’s price is $1.84, 25% down from its all-time high.

From the looks of things, PNUT’s price might face profit-taking. If that happens, the token’s value could drop to $1.33. 

However, a shift toward bullish sentiment could invalidate this thesis. In that scenario, PNUT could hit $2.16 or rally toward a new all-time high of $2.50.

Pepe (PEPE)

PEPE’s price skyrocketed by 118% this week, reaching a new all-time high. This performance secures its spot among the top altcoin gainers of the week. According to BeInCrypto’s findings, the token rallied for two reasons.

First, US-based brokerage firm Robinhood announced that it had listed it. Around the same period, Coinbase also confirmed doing the same on its spot market. As a result, PEPE’s price moved from $0.000013 to $0.000023 within a few days.

On the daily chart, PEPE has faced resistance at $0.000023, suggesting that bears are working toward pulling the price back. However, bulls also appear to be defending support at $0.000021.

Should bulls win the battle, then the meme coin could rally to a new all-time high of around $0.000026. On the other hand, a rise in selling pressure could render this thesis null and void, and PEPE could drop to $0.000016.

Bonk (BONK)

Bonk surged over 100% this week, securing its position among the top altcoin gainers amid a broader rally in meme coin prices. As previously reported by BeInCrypto, a key driver behind this spike was its listing on Binance US.

The listing sparked a surge in demand for the Solana-based meme coin, fueling its impressive performance. Like Pepe, BONK’s price also surged to a new all-time high. 

Currently trading at $0.000043, the daily chart shows that the token is well above the 20 and 50 Exponential Moving Averages (EMAs). The EMA measures trend direction over a period of time. When the price is below it, the trend is bearish.

However, since BONK is above both, it indicates that the trend is bullish. Should this remain the same, the altcoin’s price could rally toward $0.000049. On the flip side, a pushback by sellers might invalidate this bias, and this could draw the price back to $0.000037.