Share:
  • Cardano price is on the edge of falling further toward $1.26 as the Ethereum-killer is struggling to find a reliable foothold.
  • The governing technical pattern suggests that ADA could see a decline of 15%.
  • The lack of meaningful support could spell trouble for the bulls.

Cardano price is on the brink of further decline as ADA fails to secure crucial footholds. The governing technical pattern suggests a bearish forecast of a 15% decline as the Ethereum killer struggles to find buyers in the market.

Cardano price to retest $1.26

Cardano price has sliced below the descending parallel channel on that formed since September 12, signaling further losses are in store. The prevailing chart pattern suggests a 25% plunge toward $1.26 if ADA is unable to find crucial support to prevent a greater decline.

Since breaking below the lower boundary of the parallel channel on November 24 at $1.72, Cardano price has continued to drop 13%, recording a new swing low at $1.48. 

It appears that the nearest line of defense for Cardano price is at the July 10 high at $1.37. 

If Cardano price fails to hold above the aforementioned foothold, ADA could plunge toward the bearish target at $1.26, where the support line given by the Momentum Reversal Indicator (MRI) and 127.2% Fibonacci extension level coincide. 

The Arms Index (TRIN), which gauges overall market sentiment, suggests that there are significantly more sellers than buyers in the market, pointing to an overall pessimistic outlook for Cardano price.

The recent sell-off was most likely kickstarted by eToro’s delisting of ADA, causing investors to back out. Prominent crypto attorney Jeremy Hogan suggested that the most likely reason for the exchange to stop Cardano trading was due to a warning from the United States Securities & Exchange Commission (SEC).

ADAUSDT

ADA/USDT daily chart

However, if the bulls decide to step in, the first resistance for Cardano price is at the July 4 high at $1.49, then at the June 15 high at $1.61. Additional hurdles may emerge for ADA at the 78.6% Fibonacci retracement level at $1.66, then at the 61.8% Fibonacci retracement level at $1.80.

Investors should also note that the 21-day Simple Moving Average (SMA) crossed below the 200-day SMA at $1.88, which indicates this level would be a tough challenge to crack for ADA while suggesting a bearish signal for Cardano price.

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Join Telegram

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended Content

Editors’ Picks

Ethereum whales turn bullish with Shanghai upgrade less than a month away

Ethereum whales turn bullish with Shanghai upgrade less than a month away

Ethereum (ETH) whales holding between 1,000 and 10,000 ETH have been scooping up the altcoin consistently for a week. With the countdown to the Shanghai upgrade and the ETH token unlock event, there is a spike in Ethereum demand among retail investors. 

More Ethereum news

Ripple price to close the week with a bang as next week will be crucial for another 20% profit

Ripple price to close the week with a bang as next week will be crucial for another 20% profit

Ripple price is closing this week with very profitable numbers, even if a fade is ongoing. The fade occurred after bulls received a firm rejection at $0.50 and have been trading lower from that level since. If bulls can keep their hands on this momentum and the Relative Strength Index (RSI) is not overbought, at least some 20% profit is being prepared for next week.

More Ripple News

Will Cardano price advance as analysts call it one of the favorite altcoins next to EOS and COLT to pop?

Will Cardano price advance as analysts call it one of the favorite altcoins next to EOS and COLT to pop?

Cardano (ADA) price is making the cut and has been shortlisted by several analysts that have put ADA in their top altcoin, primed to explode to the upside soon. ADA is flirting with a second week of gains and could recover its attempt to hit $0.415 as a crucial level for any further uptrend or downtrend.

More Cardano News

Is the new partnering-up strategy the right way for Vechain price to avoid a 30% correction?

Is the new partnering-up strategy the right way for Vechain price to avoid a 30% correction?

Vechain (VET) price had a busy week as several new partnerships were announced. Next to integrating with Dappradar to promote cross-chain visibility, the partnership with Boston Consulting Group might be the one that draws the most attention. Vechain price though is not taking this news in a good way and rather is at risk of tanking further.

More Cryptocurrencies News

Bitcoin: Should you trust this BTC sell signal or wait for $34,000?

Bitcoin: Should you trust this BTC sell signal or wait for $34,000?

Bitcoin price shows a clear picture of its rally after it breached a long-term bullish pattern in mid-January. As the rally takes a breather, sell signs have started to emerge, which is putting investors in a confused state. 

Read full analysis

BTC

ETH

XRP