- Cardano price analysis is bearish today
- Support tested at $1.0, price likely to decline further
- ADA/USD resistance present at $1.110
Cardano price analysis is bearish today. Cardano has undergone strong bearish pressure since the beginning of the week. As our last Cardano price analysis outlined, ADA/USD was trading in a descending channel against both Bitcoin and USD, which could potentially lead to another test of lows for Cardano. Cardano’s current price is $1.03.Cardano has declined by 2.5 percent from its previous price.
The total market cap of Cardano is $2.15 billion and is trading at a volume of $1,240,717,253 over the past 24 hours. Cardano has been trading at a range of $1.02 to $1.07 ranking position 7 in the overall cryptocurrency market. However, Cardano is dominating a significant portion of the total market of 1.86 percent overall.
On other cryptocurrencies, the most significant cryptocurrencies Bitcoin and Etherium have registered a decline of 0.75 percent for Bitcoin and a 2.06 percent decline for Ethereum. The gainers of the day are Dogecoin and SHIB, with a 0.78 percent and 2.13 percent increase.
Cryptocurrencies prices heatmap, source: Coin360
ADA/USD 1-day price chart: Cardano price dips further downwards
On 1 day chart, Cardano is trading in a descending channel against both Bitcoin and USD. The resistance is present at $1.11, while the support is at $0.90 (which coincides with the previous low of December 12th). As our last Cardano price analysis outlined, Cardano has been trading in a descending channel against both Bitcoin and USD, which could potentially lead to another test of lows for Cardano.
The moving average (purple) and the directional movement index (DMI, blue, and orange lines) point out a bearish trend: ADA/USD is in a strong downward momentum. The price has been declining since December 4th, which reinforces the assumption of a descending channel against both Bitcoin and USD. The Relative Strength Index period 14 is level 31 points, indicating oversold conditions for ADA/USD. However, the absence of buyers’ strength increases the likelihood of further declines in the price against both Bitcoin and USD as per Cardano price analysis.
ADN/USD 1 day price analysis, source: TradingView
The Bollinger bands are showing a slightly bearish curve for ADA/USD, which indicates the absence of strong bullish price action. The bands are not diverging yet but seem to be starting to curve inwards. Cardano price analysis shows Daily Pivot Point is around $1.10; it will act as a support level and is highly likely to push down prices between $0.99 and $1.03.
ADA/USD 4 hour chart: Cardano declines despite oversold conditions
According to the 4-hour chart, ADA/USD is trading in a descending channel against both Bitcoin and USD. Resistance is at $1.11 and the support level is at $0.90 (which coincides with the previous low of December 12th). The price rose from $1.2 to $1.3, but the upside has been capped by a bearish trend line on the same chart.
ADA/USD 4-Hour chart price analysis, source: TradingView
The moving average and the directional movement index point out a bearish trend: ADA/USD is in a strong downtrend. Price is in extreme oversold conditions; however, we could still see further declines for Cardano. The Bollinger bands are showing a slightly bearish curve, indicating the absence of strong bullish price action. The bands are not diverging yet but seem to be starting to curve inwards. The volatility is low in Cardano price analysis charts, and it can be seen on the exponential moving averages.
ADA/USD price analysis conclusion
In summary, Cardano price analysis is showing bearish momentum. ADA/USD prices have been dipping downwards in the last few days. Bears seem to have the advantage as the bulls have been unable to gather enough courage for a recovery. However, Cardano has been fluctuating between $0.80 and $1.12 in the last 3 months, which means that Cardano is not yet out of steam and still could test highs before going lower.
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