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Santiment service experts analyzed an important technical indicator of Ripple (XRP) and Uniswap (UNI) cryptocurrencies. They stated that both digital assets are seriously underbought in the market. The experts made this conclusion based on the consideration of MVRV Divergence on the charts.
This parameter allows you to evaluate the ratio of market value to realized value (the price of each asset at the time of its last movement). According to the metric, the increased volatility in the cryptocurrency market caused most traders’ profits to drop significantly during the last price correction. In January 2022, the value of some digital currencies fell by 50% or more from their maximum values.
Thus, the average trading profitability of the Uniswap token has reached a minimum level, as the asset price is at $10.43 as of 13:10 Moscow time on January 31, 2022. According to analysts at Santiment, its value has fallen by 76% from its all-time high of $44.97. They said that this is a very serious loss for investors.
The second asset to hit an all-time low negative MVRV was XRP. It is currently trading at $0.58, down 84.7% from its all-time high of $3.84. This result was achieved in 2018. Santiment experts also noted that the price of Ripple has fallen by 67% since June 2021.
Experts from the analytical company are sure that now is the ideal entry point for buying Ripple and Uniswap cryptocurrencies. The indicator data on the chart indicates that the price of virtual currencies is likely to only grow in the future. According to Santiment experts, investors and traders should pay close attention to these digital assets.
Earlier, Crypto.ru editors reported that Santiment analysts have compiled a list of the best cryptocurrency projects that investors should pay attention to. According to them, they include: SHIBA INU, Yearn Finance, Uniswap, Aave and Chainlink.
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