TLDR
- Cardano (ADA) which trade around $ 0.67, with price that corrects 10% in the last week
- Election holding fell to the lowest level since February 2023, which signals decreased trust
- ADX grew to 40.19 and confirmed a strong baisse -like trend momentum
- Critical support of $ 0.64 is tested, with the next $ 0.58 support if broken
- Investment product inflows increased by 500% week during the week, which indicates possible renewed interest
Cardano (ADA) is currently traded over $ 0.67 after a small recovery of 2.2% over the past 24 hours. This little win comes in the middle of a wider down trend that has held Cryptocurrency under the $ 1 mark for almost a month.
The price has been corrected by 10% over the past week. This continues the long -term Baiss pattern in ADA’s price movement during the recent marketing activity.
Technical indicators point to increasing the pressure on Cardano. The average directional index (ADX) has increased to 40.19 from 15.83 just four days ago, which confirms that the baisseed trend is not only present without gaining strength.
ADX is an important trend strength indicator that measures speed regardless of direction. With readings over 40, it shows that the current trend is powerful and potentially accelerating.
Election activity has also raised concerns about ADA supporters. The number of wallets holding between 1 million and 10 million ADA has dropped to 2,406, from 2,421 just days ago.
This decrease provides electoral holdings to its lowest level since February 2023. The behavior of these large holders often precedes broader market trends, which indicates reduced confidence in ADA’s short -term views.
Market analysis
On the price diagram, Cardano is placed between immediate resistance of $ 0.69 and important support at $ 0.64. Cryptocurrency currently deals with $ 0.67, with the 20-day EMA floating around $ 0.71.
The relative strength index (RSI) remains in negative territory. This technical installation provides a small advantage for Baissear in the short term.
ADA recently tested the critical support level at $ 0.64 and managed to hold. This suggests that buyers are still defending this zone, which has become an important reference point for Cardano’s short -term views.
If this support level is broken on another test, it would probably press Ada against the next support to $ 0.58. Such a movement would indicate a continuation of the current trend.
Despite these baisse -like signals, not all news for Cardano has been negative. A Coinshares analysis shows that Cardano has seen a 500% week-by-week increase in inflows to digital asset investment products.
The total influx amounts to $ 0.6 million. This represents part of a larger trend of funds that return to Altcoins, which indicates possible renewed investors’ interest in ADA.
Some critics have questioned Cardano’s basic value. The project is ranked 18th Total Value Locked (TVL) with almost $ 333 million, but its market value amounts to $ 23.1 billion – about 69 times its TVL.
This high ratio has led to some noticing Kardano as overvalued or even as a “zombie blockchain.” Critics point to limited ecosystem growth compared to competitors such as Solana.
The Cardano Foundation managers have prevented the project to focus mainly on marketing blockchain for real applications such as identity verification and record maintenance rather than trendy defi applications.
Look at the daily chart, Timric action Shows Ada Has been on a trend since last Wednesday. The price has made three lower altitudes in a row and briefly breaks under $ 0.660 support before it is released.
Some analysts remain optimistic about Cardano’s future despite the current warnings. There are forecasts of potential growth, which may reach higher price cases by 2025.
The prospect of listing Ripples $ Rlusd Stablecoin on the Cardano network is a factor that runs some optimistic forecasts. This connection can provide the Cardano ecosystem with extra liquidity and potentially attract more investors to ADA.