Bearish Market Limits Cardano Price Movement
The Cardano (ADA) price has turned down in the last 24 hours, falling by 3%, despite an attempt to achieve the $0.38 mark. With minimal notable price change over the previous week, the cryptocurrency has remained rangebound. The general market trend, with the price of Bitcoin falling below $23,000, has also had an impact on ADA demand.
Technical Prospects
According to technical analysis, the bulls have lost since the currency has lost its important support at $0.38. This decline in buyer confidence might result in a brief decline before prices stabilize. At its current price of $0.37, ADA is trading 88% below its all-time high, which was reached in 2021.
Trading opportunities will arise if the $0.40 resistance level is broken. It will be difficult to get over the $0.38 resistance, though. The price can drop below $0.34 before rising if demand keeps down.
Trading Activity and Buyer Power
Low trading activity during the previous session suggested that buying power had weakened. The Chaikin Money Flow is now resting on the half-line due to the decline from the $0.38 support line, which also produced a decline in purchasing vigor.
On the chart, there are additional sell signs, indicating that the price may decline further before rising. The price has passed the 20-Simple Moving Average line, and sellers are now gaining market momentum. Although the price is still above the 50-SMA line, this suggests that demand may rise as more buyers enter the market.