cryptocurrencies prices heatmap, source: Coin360
The Cardano price analysis for today shows Cardano (ADA) has taken a sharp dive in the market after a prolonged consolidation, shedding more than 4.5% of its value and trading at $0.7917. Cardano is set to decline further after setting a declining trendline during the day. The market sentiment is bearish, and ADA is expected to retest the $0.75 support level. A break below this level could see Cardano tumble to $0.70 levels in the near term.
The market for Cardano has been seen to experience high selling action in recent times. ADA was trading at $0.8150 during the opening of today’s market but dropped to $0.7728 by the end of the day, before finding support at that level today. Cardano’s market capitalization is currently at $1.8 billion, and its 24-hour trading volume is $26 billion. The digital asset is ranked at the sixth position in terms of market capitalization with a total of 31,112 ADA in circulation.ADA prices have been trading between $0.75 and $0.8150 since mid-April but have failed to make a significant move higher despite the overall market conditions being bullish.
Cardano price analysis: Technical analysis
The price has traded in a narrow range above this level with minor upside movements being capped below the 50-day EMA (four-hour chart). The MACD is sloping slightly north, and the signal lines point in a bearish direction. The Relative Strength Index (RSI) has slightly moved above the 50 levels but is reversing to start further moves lower. The significant support levels are at $0.7728, followed by $0.7500 and resistance levels of $0.8020, $0.8550, and the 50-day EMA (four-hour chart). The overall outlook is bearish as long as Cardano trades below the moving averages.
ADA/USD 1-day price chart, source: TradingView
Cardano price analysis reveals the market volatility for ADA/USD pair is decreasing as seen on the Bollinger bands which are converging. The price is currently testing the lower Bollinger band, and a continuation of the downtrend could see it move to $0.70 levels in the near term.
Cardano price action on a 4-hour price chart: Bears take over as the market plummets lower
The digital asset is currently in a descending channel, and the bulls have not been able to push the prices higher. The price has set a descending trendline on the 4-hour chart, and any move higher is likely to be short-lived. The Relative Strength Index (RSI) on the 4-hour chart is in oversold territory, and the MACD indicates that sellers have control.
ADA market participants should keep an eye on key support levels at $0.75 and $0.70 if the bulls fail to push prices higher soon.$0.80 resistance level (ADA 4-hr chart). Cardano could retest its previous support at $0.75 in the near term if the price breaks below its descending trendline. The market volatility for ADA is high as seen on the diverging Bollinger bands, and a move to $0.70 is likely if the bears continue to push lower.
ADA/USD 4-hour price chart, source: TradingView
Cardano price analysis conclusion
The Cardano price analysis for today shows that the market is bearish, and ADA is expected to retest previous support levels. The digital asset could tumble to $0.70 levels if the bears continue to push prices lower. The market volatility is high, and a move below $0.75 could see Cardano tumble to $0.70 levels in the near term. The market sentiment is bearish, and ADA is expected to retest the $0.75 support level. A break below this level could see Cardano tumble to $0.70 levels in the near term.
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