- The annual inflation rate of the KAVA crypto is very high.
- The Kava crypto has declined by 91% from the all-time high price.
Kava is a DeFi platform on Cosmos blockchain, founded by Brian Kerr, Ruaridh O’Donnell, and Scott Stuart, who have expertise in finance and blockchain. It enables users to earn interest, borrow using USDX stablecoin, and participate in governance. Hard Protocol facilitates borrowing and lending, while USDX serves as the native stablecoin.
The circulating supply of the Kava crypto is 100% of its total supply, resulting in 1.082B KAVA, which further results in a fully diluted market cap of $959.113M. Also, the supply inflation of the crypto is 145.13%, which is extremely high.
The trading volume of the Kava crypto is quiet, and a small advance of 2.8% has been witnessed over the last 24 hours. The value of the traded volume for the crypto is $60.863M.
The market cap of the crypto has further witnessed a decline of 7.9% in the last 24 hours. The crypto’s current market cap is $957.839M, and its market cap ranking is #95.
The crypto was released on October 24, 2019, and is built on the Binance chain. The volatility of the crypto is also high at 11.86%, as per Coincodex. Moreover, the market cap dominance of the crypto is 0.04%. The sentiment of the crypto is Bearish.
Kava Crypto Derivatives Analysis
The open interest of the Kava crypto is consistently declining as per the Coinglass open interest chart. That indicates the decline in traders’ engagement in the derivatives of the crypto.
Despite this, the derivatives trading volume has advanced by 41.9% in the last 24 hours, while the long/short ratio for the crypto is 0.9331.
The long liquidation recorded for the crypto is $201.11K against the short liquidation of $3.46K, indicating sellers’ dominance.
Weighted Sentiment Vs Price Volatility
The weighted sentiment of the crypto seems to be volatile as sudden advances and declines can be witnessed on the chart of Santiment. Despite this, the price volatility of the crypto has seen a considerable advance over time. It indicates a higher probability of uncertain spikes in the trading price of the crypto.
Kava Crypto Technical Analysis
Despite the consistent decline in the trading price of the crypto, on the weekly chart, the KAVA price has formed a higher high swing, but the price of the crypto cannot sustain the highs.
The crypto’s price has again started to decline, and if it rebounds above the level of $0.9700 and sustains above the same, it might invite new buyers into the market. It might lead to further advances in the trading price of the crypto.
KAVA/USD Chart by TradingView.com
The trading price of the crypto has declined to the 50-day EMA and is heading towards the 200-day EMA. While the EMAs are trading in a golden cross, if the price fails to break above the last swing high, a further decline in the price might be seen.
The MACD also signals mild weakness as the MACD and the signal line are trading in a bearish crossover. Although the lines trade above the zero level, the histogram indicates weakness.
The RSI of the crypto shows weakness in the price as the RSI has declined below the 50 level, followed by the decline below the 14-day SMA.
Summary
Despite KAVA crypto’s high annual inflation rate and a 91% decline from its all-time high, it faces challenges in sustaining momentum. With a bearish sentiment, declining market cap, and decreasing trader engagement in derivatives, KAVA’s technical indicators suggest weakness, though a potential rebound may occur if key resistance levels are surpassed.
Technical Levels:
- Support levels: $0.5520 and $0.6670
- Resistance levels: $1.1500 and $1.3200
Disclaimer
This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.