Cardano (ADA) As the bearish trend continues, the ADA price seems to have failed to keep up with the enthusiasm of the investors. Ethereum killer Called Cardano (ADA), it is currently stuck in a consolidation pattern and if the bulls fail to counterattack this pattern, the bears may strengthen and continue to lower the price.
ADA price recovery could be difficult for ‘bulls’ as many indicators in Cardano (ADA) price indicate that many ADA traders are currently ‘in a loss’. Cardano (ADA) price action is down nearly 19% from its November 9 peak. ‘Further selling pressure’ on ADA could push the Ethereum killer altcoin back to the $1.75 levels.
Looking to test lower ‘support levels’, ADA price is currently sealed within a descending parallel channel pattern on the daily chart. At the same time, as the ADA price continues to consolidate, it becomes more difficult to make predictions on the price. ADA is currently looking for lower support levels and the first support level is September 21 low. $1.90 as determined.
The additional selling pressure on ADA will push the price towards the 200-day ‘Simple Moving Average (SMA)’. $1.87may also show regression. If ADA loses this level as well, the decline could continue and the bears would take control and hit the October 27 low. $1.80You can download up to .
At the same time, if the bulls do not ‘fight’ within these price movements, Cardano price could drop further to set the lower boundary of the parallel channel at $1.75.
IntotheBlock’s volume-based Money In/Out Price (IOMAP) modelIt shows that even if Cardano price finds reliable support in the near term, it may be difficult to reverse the underperforming period. IOMAP shows that ADA investors who are at a loss are significantly higher than those who are at a loss.
According to IOMAP, the largest support cluster is currently at $1.78 and 53,360 addresses have purchased a total of 850 million ADA.
However, if ADA bulls can somehow reverse their sluggish performance, ADA price could face immediate resistance at $2.02 at the middle border of the prevailing chart pattern, which coincides with the 21-day SMA. If this level is broken, the next hurdle will be the October 28 high of $2.05.
IOMAP claims that the largest cluster of token holders with a total of 418,370 addresses purchased 5.59 billion ADA at an average price of $2.06, making this the biggest hurdle for ADA price in the near term.
If ADA price manages to break above the aforementioned resistance level, ADA will face tougher resistance at the 50-day SMA at $2.11, followed by the November 11 high of $2.15. According to IOMAP, the Ethereum killer altcoin will continue to face challenges and much less room for even greater bullish prospects in the near future until it manages to climb above $2.18.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.