- Market intelligence platform Santiment says wide price performance ranges have left crypto assets split between extremely overbought and underbought categories.
- The price outlook for OMG Network (OMG), Serum (SRM) and Vidt DAO (VIDT) suggests they are most underbought.
- Meanwhile, Render (RNDR), Injective Protocol (INJ) and Bella Protocol (BEL) are extremely overbought.
Cryptocurrency prices have been quite volatile in April, with a number of coins seeing massive gains before toppling to pre-rally levels amid extensive selling. But the outlook of some tokens suggests they are trending in extremely overbought territory, while a few remain greatly underbought.
Render (RNDR), Injective Protocol (INJ) and Bella Protocol (BEL) are all heavily overbought. OMG Network (OMG), Serum (SRM) and Vidt DAO (VIDT) fall in the latter category.
Crypto price predictions for OMG, SRM and INJ
While Bitcoin (BTC) price is back above $29,000 on Friday and is trending with positive sentiment as bulls target a good start to the historically slow May, analysts say ending April above the key support of $28,200 is the critical move.
Meanwhile, trading patterns for some altcoins suggest this might be a good buying moment – with market intelligence platform Santiment highlighting OMG, SRM and VIDT as some of the most underbought tokens.
However, with the global crypto market cap shrinking to $1.25 trillion from recent highs, some altcoins that rallied hard are massively overbought. These tokens, including RNDR, INJ, and BEL could be quite risky, Santiment explained on Friday.
“Prices have been more scattered and non-correlated to one another here in April than in previous months. And our MVRV model confirms average trading returns appear as historically good times to buy for some ($OMG, $SRM, $VIDT), and quite risky for others ($BEL, $INJ, $RNDR).”
???? Prices have been more scattered and non-correlated to one another here in April than in previous months. And our MVRV model confirms average trading returns appear as historically good times to buy for some ( $OMG, $SRM, $VIDT), and quite risky for others ( $BEL, $INJ, $RNDR). pic.twitter.com/g6z1IAfySz
— Santiment (@santimentfeed) April 28, 2023
The MVRV (market-value-to-realized-value) model gives the ratio of a token’s market capitalization against its realized capitalization.
As a comparison of the two metrics, that is market cap and realized cap, the MVRV ratio is often used to highlight the price of an asset versus its deemed fair value. Being above or below this “fair value” price helps traders assess the potential profitability of the token.
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Cryptocurrency has become a hot topic in recent times, with various digital tokens being traded on an ever-expanding array of exchanges. One area that has gained a lot of interest is crypto price prediction. With thousands of cryptocurrency projects into the market, understanding how these prices are set can make all the difference to a cryptocurrency investor. In this article, we will take a closer look at the prices of three major cryptocurrencies – OMG Network, Serum, and Injective Protocol – and the factors that will influence their price in the future.
OMG Network is a blockchain-based platform that enables low-cost, high-throughput transfer of funds between virtual currency systems. This project has seen a rise in traction recently, with its total market capitalization increasing from $187 million at the start of 2021 to almost $4 billion today. Analysts predict that this trend is likely to continue, with OG exhibiting a bullish projection for the near future. This expectation is buoyed further by the project’s development of a decentralized exchange, which will allow users in different countries to transfer funds at a fraction of the cost.
Serum is one of the most sought after projects in the ecosystem. It is an automated market maker (AMM) that operates on the Solana blockchain, making it easier for users to trade assets with one another in a low-friction environment. For many investors, Serum’s promise of 24/7 liquidity and greater market efficiency could be too good to pass up. A number of reputable institutions have invested in the project, leading to optimistic predictions for the token’s future price.
Injective Protocol is a layer two scaling solution that focuses on providing decentralized derivative trading. Injective Protocol will make it much easier for traders to keep track of their positions and manage their exposure to certain markets. It’s worth noting that Injective Protocol is integrating both DeFi and traditional trading into its platform, which could make it one of the most sought-after projects in the near future. With the platform’s support of cross-chain trading and numerous features, investors are predicting a surge in the token’s price.
All in all, investors have high expectations for the future price of the mentioned cryptocurrencies. With their proposed developments, projects are likely to see a swell in demand for their tokens. As such, investors should look to the projects’ technical and fundamental developments in order to gain a better understanding of their potential price performance.