Ethereum DeFi Altcoin Demonstrates Bullish Divergence as Indicator Enters 'Bounce Zone,' According to Santiment
Santiment, a crypto analytics firm, identifies bullish divergences in an Ethereum (ETH) DeFi project's native token, signaling positive market potential
At the time of writing, Aave (AAVE), a DeFi lending protocol, is trading at $93.89, registering a 2.3% gain over the last 24 hours. Santiment highlights a five-month high in AAVE holdings, with the top 150 non-exchange wallets currently possessing 9.61 million AAVE.
The analytics firm also observes that AAVE's Relative Strength Index (RSI) has dipped below the 40 mark, historically signaling a potential rebound for the asset.
The RSI, a widely-used momentum gauge ranging from 0 to 100, helps identify overbought or oversold conditions. A reading below 30 is generally seen as bullish, while a reading above 70 suggests bearishness.
Regarding other cryptocurrencies, Santiment reports that Cardano (ADA), an Ethereum competitor, experienced a sudden decline in small wallets in mid-November, often indicative of capitulation and a potential price reversal. ADA has surged +65% since then.
At the time of writing, ADA is trading at $0.635. This cryptocurrency, ranked eighth by market capitalization, has experienced an impressive 8% increase in value over the last 24 hours.
Dec 15, 2023
