It’s amazing how quickly things change.
Just look at how Sheldon Mcintyre at FXStreet described Cardano prices May 3.
“Cardano price is coiling along the all-time high, unable to participate in the rally of the broader crypto market,” McIntyre wrote. “The 10-week simple moving average (SMA) has caught up to price, but one final bear-trap may be necessary to remove the weak holders and engage speculators with a longer-term horizon.”
This morning, Cardano (ADA) is up an astounding 20% or so, moving from $1.30 against the dollar to $1.70 and bulwarking its position against Bitcoin and other cryptocurrencies.
Although Cardano is hot right now, some traders are worried about decreasing volume and other eventualities surrounding digital assets that we didn’t know existed just a few years ago.
“Professional traders are reminding the new players in the crypto market to exercise caution while altcoins are booming and the world’s number one crypto, bitcoin (BTC), still consolidates,” writes Sead Fadilpasic at CryptoNews. “This is a warning that’s sounded every alt season, and it was particularly loud during the last year’s fast rise of decentralized finance (DeFi), resulting in a massive DeFi craze, like the one we’re now seeing around non-fungible tokens (NFTs).”
On the other hand, today’s news takes place against the backdrop of lackluster U.S. job growth, which gives modern investors another reason to run from traditional equity markets with their bothersome human capital burdens, and move toward an altcoin or two.
Still, professionals and experts are also providing warnings to the average investor class about the difference between Bitcoin, with its global infrastructure and market dominance, and altcoins like Dogecoin that have risen quite a bit, but could still be a flash in the pan investment. Take a look and do your due diligence before placing any significant weight on any coin, alt or otherwise.