- Cardano price is in a steep downtrend and consolidates above.
- ADA hovers above a 2021 liquidity zone.
- Invalidation of the bullish trend is a breach above the previous range at $0.32.
Cardano price could be setting up for a monstrous decline. When writing all signals point south, the bulls must rally considerably to consider a safe countertrend scenario.
Cardano price is in a free-fall decline
Cardano price currently consolidates in the mid $0.20 zone after enduring a 19% decline on the month. On November 23, the scalable smart contract token hovers within a 10% radius of the 2021 swing low at $0.228.
The swing low is a significant liquidity level that has remained untested since it was first established on January 11, 2021. Cardano would then go on to rally nearly 1200 percent into the all-time highs at $3.10 by August of the same year.
Cardano price currently auctions at $0.2593. While the technicals of an upcoming liquidation seem promising, on-chain metrics are playing devil's advocate. According to FXStreet's News Reporter Ekta Mourya, "Cardano addresses holding between 10,000 and 100,000 ADA tokens have added $83 million worth of ADA since November 7." The high cap interest for Cardano is certainly intriguing, but the technicals have yet to align. Time will ultimately judge who is on the right side of the trade.
ADA/USDT 12/23/22
ADA would then need to establish a consolidation above the aforementioned zone. Under the ideal scenario, the bulls could prompt a countertrend spike towards the $0.40 range established throughout the Fall, resulting in a 57% increase from the current Cardano price.
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
Bitcoin Weekly Forecast: Fed-led rally could have legs towards $65,000
Bitcoin has risen 7% so far this week, supported by the US Fed interest-rate cut and more than $300 million in ETFs inflows. The recent surge led BTC price to shatter several key technical resistance levels, a sign that the current two-week rally has likely some more way to go towards $65,000.
Ethereum, BNB and POL holders on the watch as BingX faces loss of $26 million in hack
Crypto exchange BingX said on Friday that it suffered a hack, an attack that led to “minimal” losses that researchers at PeckShield estimate at $26.68 million. The attacker swapped the stolen altcoins for Ethereum, Binance Coin and Polygon tokens, according to on-chain data.
Pepe price forecast: Eyes for 30% rally
Pepe extends the upward movement on Friday after breaking above the descending trendline and resistance barrier on Thursday. PEPE’s dormant wallets are in motion, and the long-to-short ratio is above one, further supporting this bullish move and hinting at a rally on the horizon.
Shiba Inu is poised for a rally as price action and on-chain metrics signal bullish momentum
Shiba Inu remains strong on Friday after breaking above a symmetrical triangle pattern on Thursday. This breakout signals bullish momentum, further bolstered by a rise in daily new transactions that suggests a potential rally in the coming days.
Bitcoin: Fed-led rally could have legs towards $65,000
Bitcoin (BTC) has risen 7% so far this week, supported by the US Federal Reserve (Fed) interest-rate cut and more than $300 million in ETFs inflows. The recent surge led BTC price to shatter several key technical resistance levels, a sign that the current two-week rally has likely some more way to go towards $65,000.
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.