SNEAK PEEK
- Cardano’s staking protocol is considered to be excellent and was built with careful thought and planning, which sets it apart from other blockchain platforms.
- ADA is currently facing a significant sell wall, but breaking through it could spark a bull rally due to minimal resistance ahead.
- Whales have been accumulating ADA over the past month, indicating confidence in Cardano’s long-term potential as a blockchain platform and cryptocurrency.
Cardano, a blockchain platform and cryptocurrency, is gaining attention for its innovative staking protocol, which allows users to earn passive income by holding and delegating ADA tokens. Unlike many other cryptocurrencies that rely on proof-of-work or proof-of-stake algorithms. This has made Cardano a popular choice among investors and developers alike, as it offers a sustainable and scalable solution for building decentralized applications and services.
Cardano, one of the largest cryptocurrencies by market capitalization, is facing a massive sell wall that could determine its short-term price direction. There is a colossal 3.85 billion ADA sell wall standing between $0.40 and $0.42, which represents a significant obstacle for bulls trying to push the price higher.
However, some analysts believe that breaking through this barrier could spark a bull rally for ADA, as there is minimal resistance ahead. In fact, on-chain data from blockchain analytics firm IntoTheBlock shows that Cardano whales holding between 1 million and 10 million ADA have been accumulating the cryptocurrency over the past month, despite the recent market turbulence.
Specifically, these large investors have bought roughly 150 million ADA worth $57 million, indicating that they are confident in the long-term prospects of Cardano. This is in line with the overall trend of institutional adoption in the cryptocurrency space, as more and more big players enter the market and accumulate digital assets.
Cardano Technical Analysis
The latest Cardano price analysis shows that ADA is regaining its uptrend form after bears pulled the price back to $0.3700 levels. The downtrend has been reversed and the current price action is heading toward the $0.4000 level. ADA is currently trading at $0.3977, just shy of the key resistance at $0.4000.
If bulls can break through the immediate resistance level of $0.3982, there will be minimal resistance ahead and a bull rally could ensue the price above the $0.4000 mark. However, if this attempt fails, ADA could find itself retesting the $0.3700 support level, which has held up so far.
The 1-day Cardano price analysis is showing a downtrend has been prevailing in the ADA’s market for most time of the day before the bulls came in to push the price back up. The bulls have managed to secure a win in the last 24 hours as the price has undergone an increase of up to $0.3977 with a gain of 2.76 percent. The 24-hour trading volume has reached a total of 335 million USD, and the market capitalization of the cryptocurrency has gone up to USD 13.8 billion.
The technical indicators on the daily chart are revealing a bullish momentum ahead. The MACD oscillator indicator is bullish, as exhibited by the green color of the histogram. As the bullish momentum is on the rise for Cardano, the bars of the histogram are increasing in size. The indicator also shows a bullish momentum as the MACD line is still above the signal line.
The Relative Strength Index (RSI) is also in favor of bulls, as it has crossed the 50 medians with the current value of 60.38 and is currently heading towards the overbought zone. The moving average (MA) with a value of 0.3775 is also favoring the bulls for a further price increase as buyers are trying to increase their positions in Cardano making the price appreciate quickly.
Overall, Cardano price analysis has shown a positive trend in the past few days and looks set to continue this bullish trend in the near future. Despite some resistance from the bears, ADA has managed to maintain its position above $0.3700, indicating strong buying pressure. If the buyers manage to push the prices higher, ADA could reach its key resistance level of $0.4000 soon.
Disclaimer: Cryptocurrency price is highly speculative and volatile and should not be considered financial advice. Past and current performance is not indicative of future results. Always research and consult with a financial advisor before making investment decisions.
