Santiment says the Ethereum-based altcoin Primary Consideration Token (BAT) might battle to maintain its momentum after the asset soared 37% to a brand new all-time excessive on Sunday.
In a brand new report, the blockchain analytics agency says that BAT has already shed about 20% of its market capitalization and that the token’s each day lively addresses plunged again to 1,217 after hitting the biggest single-day handle exercise of over 3,000 on November twenty sixth.
These components point out an absence of elementary assist to offer for an additional leg up.
“In the same vein, we see the variety of new addresses interacting with BAT skyrocketing on three separate events this month (round native value tops) however flopping quickly after, suggesting an absence of network-wide assist for a chronic rally.”
Nevertheless, the agency says different indicators counsel that the crypto asset nonetheless has the potential to drive up its value this yr.
“Whereas not ideally suited for its short-term PA, robust profit-taking exercise can sign an absence of wholesale confidence in BAT’s future value potential, and that form of uncertainty might assist present assist for an additional leg up.”
Santiment suggests BAT holders are offloading their holdings and this exercise might have bullish implications.
“Ideally, we’d see some indicators of development in BAT’s handle exercise in days to return, to associate with these (as of but) tempered crowd expectations.
Assuming the worth continues to say no from right here, that would mark a pleasant bullish divergence for the coin.”
At present, BAT is buying and selling at $1.37, down 4.8% on the day.
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