The crypto market has recently seen a significant increase in the trading volume of Cardano (ADA), the 11th largest cryptocurrency by market capitalization. According to data from CoinGlass, there has been a 150% surge in trading volume over the last 24 hours, totaling around $477 million. This increase is also reflected in CoinGecko’s data, which shows a 67% rise in trading volume compared to the previous day, amounting to $358 million. Despite this surge in trading activity, the price of ADA has not seen a corresponding increase, painting a bleak picture for ADA holders.
Price Performance
Current data indicates that ADA is trading at a price that is 89% lower than its all-time high of $3.09, which was achieved during the 2021 bull run. In addition, ADA has experienced losses of 4.1% in the last 24 hours, 10% in the past two weeks, and a significant 30% decrease in the last month alone. This downward trend reflects the bearish sentiment among investors towards ADA, as well as the broader market fears and lack of bullish momentum affecting the price of ADA.
Despite the seemingly negative outlook for ADA, crypto analyst “Trend Rider” remains optimistic about the potential upside for the token. The analyst points to a critical level of $0.69, which, if breached, could mark the beginning of an uptrend for ADA. “Trend Rider” encourages investors to identify key levels where ADA could potentially rebound, emphasizing the importance of the $0.69 level as a potential entry point into an uptrend channel. However, the path to reaching this level may prove to be challenging for ADA.
ADA has faced a significant obstacle at the $0.3538 mark, which has prevented a sustained surge in price and has acted as resistance against the token’s 200-day and 50-day exponential moving averages (EMAs). These EMAs, represented by the yellow and blue lines on the daily chart, have historically been crucial support levels for ADA’s price. However, since the market-wide correction that began in April, ADA has been trading below these EMAs. In order for ADA to potentially see a short-term uptrend, the price must overcome the $0.3856 level where the 200-day EMA is currently positioned.
The current trends in the Cardano market suggest a challenging road ahead for ADA in terms of price performance. While there is still optimism among some analysts, the technical challenges and market conditions continue to pose obstacles for ADA’s price growth. Investors and enthusiasts of Cardano will need to closely monitor key levels and market developments to navigate the uncertain future of the cryptocurrency.
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