Cardano Price Prediction: The fear of spot Bitcoin ETF being a Sell-the-news event is gradually strengthening for market participants, as BTC price recently lost the $40000 mark. The intensified supply pressure prolongs the correction phase in the majority of major coins, including Cardano. As a result, the ADA price dropped from $0.617 to $0.46 within two weeks, accounting for a 24.4% loss. Will the correction extend amid the current market sell-off?
Key Support Level for Buyers to Maintain Dominance
The confluence of major technical level $0.46 creates a strong support region.
A double bottom pattern at 50% FIB level offers an opportunity for new recovery.
The intraday trading volume in the ADA coin is $577 Million, indicating a 57% gain
Amid the market uncertainty surrounding BTC ETF, the Cardano price has been under a correction trend since last month. The downfall tumbled the coin value from $0.677 to its current trading price of $0.46, registering a 31.2% loss.
While supply pressure in the market persists, the ADA price is trying to sustain above the combined support of $0.46 and 50% Fibonacci retracement. The coin price still above this FIB level indicates the buyers have an opportunity to counterattack and regain higher ground.
The daily candle today showcases a long-tail rejection, indicating the demand pressure is active at this support. If the candle closes above the aforementioned support it would indicate the buyers are accumulating this coin at market dip.
Data from the crypto analytics platform Santiment reveals that Cardano has surpassed several of its major counterparts in terms of development activities over the past month, as indicated by GitHub Commits. This surge in development efforts highlights Cardano’s unique strengths, with the project recording an impressive total of 332.9 commits.
Here are #crypto‘s top coins by development activity. Notable #github commits past 30d:
1 @cardano $ADA
T2 @polkadot $DOT
T2 @kusamanetwork $KSM
4 @optimismFNP $OP
5 @ethstatus $SNT
6 @hedera $HBAR
7 @cosmos $ATOM
8 @dfinity $ICP
9 @chainlink $LINK
10 @ethereum $ETH pic.twitter.com/zhN01674ag
— Santiment (@santimentfeed) January 22, 2024
Thus, the renewed buying pressure will trigger a second bounce back from $0.46 support, encouraging the development of a bullish pattern. In theory, this chart pattern increases buyers’ accumulation at market downtrend a promotes a sustainable recovery
Amid this positive outlook and surge in buying pressure, the ADA price could surge 30% to challenge the pattern’s neckline resistance at $0.61. A breakout above this barrier will offer confirmation of recovery.
MACD: A bearish crossover between MACD and signal reflects no weakness in support as of now.
Bollinger Band: A downtick in the lower boundary of Bollinger band indicators reflects the sellers are aggressive in the current market.
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