TL;DR Breakdown
- Cardano dropped 2 percent further during the day’s trade
- Trading volume rose by 25 percent to cement bearish outlook
- Next uptrend will take price up to $1.30
Cardano price analysis remained bearish today after continuing the decline that started on February 16. Price slipped 2 percent to move as low as $0.99 with trading volume rising more than 25 percent to cap off a bearish ADA market. The downtrend that began on February 16 has seen ADA slip from $1.106, while the February-high is $1.268. Price could be headed towards the latter as soon as buyers can consolidate some momentum upwards, with the current trend providing a buying opportunity.
The larger cryptocurrency market also continued its descent, with Bitcoin declining more than 2 percent, staying just above $40,000. Ethereum followed suit, slipping further away from the $3,000 mark with a 4 percent drop. Among Altcoins, Ripple and Dogecoin dipped 1 percent each, at $0.77 and $0.13, respectively. Solana dropped 4 percent to $90.87 and Polkadot 2 percent to $17.84 to cap off a bearish looking cryptocurrency market.
ADA/USD 24-hour chart: Price targets moving averages on daily chart
The 24-hour candlestick chart for Cardano price analysis shows price slipping further away from the crucial 25 and 50-day exponential moving averages (EMAs) since yesterday. Price will target the moving averages at $1.06 in the immediate to consolidate upwards. The relative strength index (RSI) shows bearish highs in terms of market valuation for ADA, sitting at 39.67 and moving further downwards. The moving average convergence divergence (MACD) also moved below its neutral zone over the day’s trade, confirming a bearish scenario for ADA.
ADA/USD 4-hour chart: Price must stay above $1 to avoid further sell offs
While Cardano offers a significant buying opportunity at current trend, there are developing concerns over price movement to stay afloat above the psychologically crucial $1 mark. Further sell offs below this mark would prove to be a massive hit for ADA, where potential buyers may not come into the market at that point. Therefore, over the coming 4-hour trade sessions, price needs to close above the $1 mark and consolidate up to the $1.05 demand zone. The 4-hour RSI shows a similar bearish outlook sitting at 34.45 exhibiting a highly undervalued status for the token.
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