ADA SOL and AVAX have dropped significantly in price over the past few days.
All of these L1s have performed similarly in terms of trading volume on TVL and DEX.
Altcoins have shown amazing growth over the past few months, but recent events have halted the growth of each token. Each token has experienced a significant drop in value.
In the last 24 hours, Cardano [ADA] has fallen in price by 9.45%, #Solana [SOL] by 7.73%, and Avalanche [AVAX] by 6.03%.
Despite the unique features of the protocol, the price dynamics of these tokens showed a strong correlation.
According to AMBCrypto's analysis of Santiment data, #ADA , #SOL and #AVAX have shown similar price movements since March 26.
Each of these movements were characterized by multiple lows and declining highs, indicating a bearish trend.
The decline in social volumes further indicates that the popularity of these tokens is declining.
Santiment data shows a significant decline in social interactions around ADA, SOL and AVAX, suggesting a possible loss of investor and enthusiast interest on social platforms.
Weighted sentiment around these tokens has also declined. The decline in sentiment indicates that negative comments are much more common than positive comments.
This change in sentiment reflects growing pessimism among market participants, which could lead to downward pressure on prices.
What is the status of the protocol?
In the face of falling prices, Solana remains active on its network, while Cardano and Avalanche are showing a decrease in activity on their networks.
This divergence suggests that SOL may be better positioned for a possible reversal based on the performance of its protocol, while ADA and AVAX may face stagnation in the near term.
Despite price adjustments, trading volumes on decentralized exchanges (DEX) increased across all networks.
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