Positive Sentiment Around ADA, TIA, and WIF: Will They Benefit?
Date: 2024-09-25 Author: Henry Casey Categories: CRYPTO PAYMENTS
Cardano (ADA) and Celestia (TIA) have seen significant gains in their weighted sentiment scores over the past two days, according to Santiment. Dogwifhat (WIF) also saw a spike in positive sentiment on September 24, when the meme coin began its upward move.
This surge in sentiment has resulted in significant price gains for these assets. ADA has gained 6.3% in the past 24 hours, trading at $0.38 at the time of writing. Cardano’s market cap has reached $13.8 billion, with a 24-hour trading volume of $350 million.
Cardano's positive momentum began after the US Federal Reserve announced a 50 basis point interest rate cut on September 18. Unlike the rate cut in March 2020, when ADA's price fell by 57%, the current market reaction has been significantly more favorable.
It is worth noting that ADA has already seen similar positive sentiment on social platforms on September 2, after the announcement of the Chang hard fork, which made the network fully decentralized.
Celestia (TIA) has also shown impressive growth, briefly reaching a local maximum of $6.8, after which the price began to decline. However, at the time of writing, the asset has gained 1.3% and is trading at $6.36. Celestia's market cap is $1.35 billion, and the daily trading volume is $240 million. Most of TIA’s growth came after its $100 million funding round yesterday.
The meme coin WIF has increased its value by 12.5% in the last 24 hours and is currently trading at $2. The coin has been trading around $1.5 for a long time, and only after the news of the interest rate cut did it start to actively grow.
Despite the positive sentiment around ADA, TIA, and WIF, it is worth noting that their relative strength indices (RSI) have reached quite high levels. Thus, the RSI for ADA was 74, which indicates an overbought state, while TIA and WIF had this indicator at 60 and 68, respectively, which is also close to the critical mark of 70.
High RSI levels are usually accompanied by increased volatility, as short-term traders begin to actively take profits. However, if the overall positive trend in the market continues, we can expect further price growth for these tokens due to the positive sentiment surrounding them.
It is important to remember that macroeconomic events can suddenly change the direction of financial markets.
