In the last 24 hours, we’ve seen an uptick in performance by driving the native token for the zkRollup layer 2 protocol, Loopring. [LRC]. Data from cryptocurrency social analytics platform LunarCrush revealed that the asset’s price rose astronomically by 52%. LRC traded as high as $0.41 during intraday trading on November 4th.
Here is the AMBCrypto loop price prediction [LRC] For 2022-2023
According to LunarCrush, social engagement and social signals for the Lebanese Red Cross reached daily highs of 7.86 million and 2,340. This was well above the 30-day average.
👉 Statistics: https://t.co/YCg8KAAHJS pic.twitter.com/7GshezE6yd
– LunarCrush (LunarCrush) 4 November 2022
At the time of writing, data from CoinMarketCap showed a 16% increase in the price of the altcoin over the past 24 hours. In addition, LRC has also seen a 371% increase in its trading volume over the same period.
Interestingly, the surge in LRC prices, trading volumes, and social activity in the last 24 hours came after Loopring announced it had been hit by a DDoS (distributed denial of service) attack. Later tweetThe L2 scale platform has confirmed that the issue has been resolved and the network is back online.
Loopring is back online! We will provide an autopsy soon. Thank you for your patience 🙏 https://t.co/tqpUdEuORS
– Loopring💙🏴☠️ (@loopringorg) 4 November 2022
Enter these stats
LRC recorded its highest daily trading volume in the past six months on November 4 at $728.84 million, according to Santiment data.
The sudden increase in the price of the LRC led to an overbought in the altcoin. At the time of writing, the Relative Strength Index (RSI) is at 71, while the Money Flow Index (MFI) is flat at 87. At overbought peaks, buyers usually cannot support any further price growth. Therefore, they mean only one thing – an imminent price reversal.
The Chaikin Money Flow (CMF) position of the asset is also observed on the daily chart. At the time of publication, the dynamic line of this major indicator (green) is in a downtrend, below its center line at -0.08. With the growth in LRC price in the last 24 hours, the CMF website has made a difference. This is usually read as a price signal. Therefore, it seemed clear that sellers were preparing to overtake the market.
Finally, a look at the chain revealed an increase in LRC supply on exchanges over the past 24 hours, which is up 0.28%. This indicates that investors were taking advantage of higher prices to diversify their holdings of LRC. Thus, the increase in short-term selling pressure was a precursor to a price reversal.
Interestingly, due to the prolonged decline in the price of LRC over the past few months, the recent rally has failed to turn many holders into profits. Its market capitalization relative to realized value (MVRV) revealed that even if all LRC investors sold their holdings at the current price of the token, they would still incur losses.