- Cardano price is trading in positive territory as the US trading sessions get under speed.
- ADA sees bulls overheating, which means that the expiry date is moving closer at a quick pace
- The risk of a firm rejection and big fade gets underway and might see $0.34 getting broken to the downside with more losses at hand.
Cardano (ADA) price is set to tank sharply as bulls cannot keep the momentum going while several indicators are already starting to flash red and indicate distress at hand. The trading performance from Monday was too big, too hot and too quick to be sustainable, putting a collapse at risk in ADA price action. Expect to see pressure on $0.34 soon. Once that level is broken, a leg lower toward $0.324 for a test and possible bounce is expected.
Cardano price sees bulls being too eager, too blunt
Cardano price might be jumping higher at the time of writing, while a few distress signals are coming from its technical performance. Traders will confirm that trading any asset is often not a sprint but a marathon. With ADA set to jump higher again at a staggering pace, the Relative Strength Index (RSI) is breaching the overbought barrier and is limiting any further upside potential for the altcoin.
ADA could trade another few cents higher toward $0.36 or even $0.37. That is as much upside potential as is left before a big cap and firm rejection will hit the price action hard. Expect to see a very deep fade that could go all the way back to $0.34 and even $0.324 as both the 200-day and the 55-day Simple Moving Average will be proven a tough, bearish fortress that will not be broken overnight.
ADA/USD 4H-chart
Altcoin traders might be even more at risk as quite a large part is not understanding what is going on in the background on the financial market stage. A rather controlled rally higher would be more viable, and traders in ADA would get less exposed to the whipsaw moves in global markets. When that pattern gets painted on the daily chart, a nice rally higher toward $0.42 could be in the making with 23% gains in the longer term.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Google, Apple could remove Binance from their app store on Philippines SEC request
The Philippines SEC has requested Google and Apple to remove applications controlled by Binance from their App stores. The exchange’s Philippines-based users are finding the exchange inaccessible to remove their funds.
XRP rallies as Ripple slams SEC for penalties, asks regulator to establish likelihood of future violations
Ripple filed its response to the SEC lawsuit on Monday, arguing that XRP institutional sales before and after the court ruling show no disregard for the law. The firm asks for a civil penalty of no more than $10 million against the $2 billion requested by the SEC.
Here’s why Ondo price hit new ATH amid bearish market outlook Premium
Ondo price shows no signs of slowing down after setting up an all-time high (ATH) at $1.05 on March 31. This development is likely to be followed by a correction and ATH but not necessarily in that order.
PENDLE price soars 10% after Arthur Hayes’ optimism on Pendle derivative exchange
Pendle price is among the top performers in the cryptocurrency market today, posting double-digit gains. Its peers in the altcoin space are not as forthcoming even as the market enjoys bullish sentiment inspired by Bitcoin (BTC) price.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?