- Cardano price analysis remains bearish as investors take out their money
- The nearest support for the price action rests at $1.25
- On the other hand, the nearest resistance is at $1.409
Cardano price analysis is bearish for today, and the charts also portray the same. The price action opened for Thursday at $1.39, while the highest price reached was $1.409, which was an important resistance. The prices came crashing down to the daily low of $1.315, dropping nearly 4% in a single day.
Data from CoinMarketCap shows that the trading volume of the ADA/USDT pair dropped by nearly 14.35% in the last 24 hours, while the market cap of the token dropped by 3.37%. The current position of the token in the market stands at number 6, with a market capitalization of $44.77 billion. Meanwhile, the token is 56.70% low from its all-time high.
Cardano price analysis via patterns
Cardano price analysis on the daily chart shows that the token broke out from a descending wedge in the month of July on the daily chart. This led to a price rally which was further boosted by the Alonzo testnet being launched live on the platform.
The descending triangle breakout was followed by a huge upside when Cardano made a new all-time high. However, following the ATH in September, the prices turned bearish for the token, which led to the formation of a descending triangle which is a bearish signal. This projected a downwards movement of the token that we are currently witnessing.
Cardano price analysis via indicators
The Cardano price analysis using the chart below shows that the token remains bearish for the time being. The MACD indicators show that the MACD line failed to break above the signal line a few days ago, continuing the downtrend. Meanwhile, the RSI indicator continues in the bearish region for nearly a month, awaiting breakout.
The Cardano price analysis can be concluded on a bearish note as no bullish factor can be witnessed on the charts. However, the network recently watched the launch of the first Decentralized Trading Protocol on Cardano called SundaeSwap, which might change the bearish stance of the token.