Cardano prices hit lows not seen in over 1 year!

Avatar Robert Mayne 2 years ago

Cardano prices continue to fall despite the fact that Bitcoin is currently in a sideways or cumulative trend. Something, which is undoubtedly worrying, because as they have mentioned from the Telegram channel KEY ALERTS, prices are trading at annual lows. In fact, the last time we saw ADA trading around US$ 0.43 was in January 2021.

Without a doubt, ADA has been one of the altcoins most affected by the crypto winter. And for today, it dawns with a slight gain of 0.48%, but accumulating a loss in the last 7 days of 10.26% according to data from CoinMarketCap. Next, we will project what can be expected for the following days of July.

Will the fundamental novelties be able to boost Cardano (ADA) prices?

The fundamental outlook remains favorable for Cardano prices. Since, whales continue to take advantage of market downturns to accumulate more. Something, which certainly indicates to us that there is still quite an appreciation for ADA. In addition, let’s also consider that ADA Pay was recently launched; one of the payment solutions that can be used by companies or freelancers, and that already has more than 7 million users.

This latest novelty will undoubtedly boost the use of Cardano among small and large companies. However, we must also be attentive to the Vasil fork that will arrive soon, and that for various reasons has been delayed.

It should be noted that we must also take into account the Fed’s rate hike, which has certainly been affecting the different markets and producing generalized falls. Cryptos, including ADA, Bitcoin or Ethereum, have not been spared from these changes in monetary policies, and with the new announcement that a rise of 100 basis points is likely to be made, it is possible that we will see a new crash.

Technical analysis for the short term

In the short term we can notice that Cardano prices may continue to fall and register new lows. Since, we are in a downtrend that we have identified with the trend lines. However, at the moment we are located at the lower levels, and most likely, we will see a rebound driven by the bulls.

It should be noted that this possible rise is confirmed by the ENV channels. Since, the Japanese candlesticks are crossing towards the central margins of them. And, in case of closing at these levels, we would have a bullish confirmation that would take us to the resistance zone located at US $ 0.44.

Cardano prices may rebound to US$ 0.44 in the short term
Analysis of Cardano. Source: TradingView.

In addition, the RSI confirms the rise. It granted oversold readings 2 days ago, and at the moment it is rebounding towards neutral levels, in addition, rejecting bearish crosses with its moving average on 2 occasions.

On top of that, the MACD is suggesting that there may be a rise. Its histogram crossed upwards, and its moving averages also did so, confirming that Cardano prices could reach US$0.44 in the short term.

In case this resistance zone is exceeded, the next level to watch would be US $ 0.46. However, there we are likely to see a rejection, so it is worth paying attention. Although, if the resistance at US $ 0.46 was overcome, we would have a confirmation of a trend change that would return us to US $ 0.50.

The information in this content should be taken for informational purposes only, not intending under any point of view to urge the purchase / sale of financial assets.

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