- Cardano price action set to book another week in red prints as the Ukrainian war continues for another week.
- ADA bulls are nowhere to be seen amid a lack of solid entry levels.
- Expect bears to sit in this trade until at least some profit-taking is triggered at $0.715 double technical bottom.
Cardano (ADA) takes another leg lower after the failed attempt last week to break above $1.000 and the monthly pivot but instead turned into a bull trap that is still hurting bulls with the squeeze to the downside. That descent does not look to come to a halt anytime soon as geopolitics, the stronger dollar, and no technical level for bears to take profit is forming a threefold overpowering force that ADA bulls can not match for the moment. Expect this pressure to continue this weekend with the absence of any breakthroughs on any of the above fronts, putting $0.715 as the price target to the downside.
Cardano bulls are awaiting some positive news before committing to long positions in ADA price
Cardano price is in a bad place now, with global market sentiment going against risk assets, putting cryptocurrencies on the back foot. Geopolitical issues alone are already enough to refrain ADA price action from starting a bull run. Add the dollar strength, and bears sitting on their hands awaiting significant technical levels to take profit, are leaving bulls at a loss with no nearby outlook of any profitable investment opportunities.
Thus, ADA price action is set to dip another leg lower as interest is fading by the week and could see price action collapse even further as investors turn their backs to cryptocurrencies. Expect to see a complete drop below the low of February with a bounce off the monthly S1 and the pivotal historical level at $0.715. That is the significant level bears are waiting for to book some more profit that would trigger a bounce off, but with all the bearish themes, do not expect a full-scale swing to $1.000, and instead look for the retest to the downside that could break the support and see a significant selloff towards $0.415 mid-term.
ADA/USD weekly chart
The only way to attract investors back to cryptocurrencies and risk assets would be when global markets can focus back on the economic front, and the geopolitical elements are dissolved. The best idea would be if peace talks could broker a breakthrough and see Russian troops pulling back into Russia, minimizing the risk of further escalation. Expect a quick pop to $1.000 and even a test at $1.144, set for next week to continue the rally towards $1.637 in the long run as investors would start to invest across the board.
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