Cardano recently left the top 10 largest cryptocurrency ranks as Shiba Inu unseats it. The latest departure from the top 10 comes as no surprise as it struggled with volatility. The asset’s volatility dropped to the lowest in the last thirty days.
Nonetheless, the coin is trying to recover from a three-day decline. Currently exchanging at $0.45, it is yet to register any significant price changes. The asset is also in sync with the crypto market, as sentiments are almost flat.
Amidst the price movement, Cardano may be gearing up for another significant move. In a recent interaction on X, the Director at Research for Traders, Dario Epstein, revealed that a third-generation blockchain company contacted him. He added that the company aims to establish itself in Argentina.
While many were wondering which firm it could be, Cardano founder responded to the post, praising the tech talents in the country. The response hints at the possibility of the project’s expansion to the nation. Moreover, the latest interaction comes when Argentina wants to implement and adopt blockchain technology.
Positive fundamentals keep pouring in with the latest assertion by Ripple’s CEO. Brad Garlinghouse said that assets like XRP, SOL, and ADA will have their exchange-traded funds in the near future. He asserted at the Consensus conference that these ETFs are inevitable, citing the most recent ETH ETF as a precedent.
Amidst the positive fundamentals, Justin Bons accused Cardano of being extremely centralized. He based his assertion on the fact that the project’s parent company controls 5 out of 7 of the blockchain’s genesis keys.
Charles Hoskinson has also recently ruffled feathers with the crypto community by claiming that Bitcoin can’t survive without the crypto industry and claiming that the asset’s lack of adaptability and reliance on proof of work will be the reason for its exit.
Cardano’s On-chain Data
Onchain data explains the reason for the most recent trend. According to Santiment, the asset’s trading volume has declined since April and has decreased by over 20% in the last 24 hours. Nonetheless, the transaction count shows a slight recovery in the previous three days.
Intotheblock shows that large transactions on the chain have decreased. The chart shows the declining transactions over the last three months. It’s currently at the lowest in three months, dropping to a measly 4.58k. Due to this and other factors, volume has also decreased.
The data also shows that over 60% of holders are still in losses. This could motivate the whales to invest more and cause a surge.
Current Price Trend
The 1-day chart is creating a bull’s flag. Following the over 7% surge on May 20, the coin has been on the downtrend, registering deeper lows. As a result, it lost over 11% since then.
The decline started after a failed attempt to gain stability above $0.50. Since then, the relative strength index has dropped from 58 to 43. The current region places the bears at an advantage as it illustrates the massive increase in selling volume over time.
The moving average convergence divergence is hinting at further price drops. The 12-day EMA intercepted the 26-day EMA, which was a bearish convergence. With the ongoing bearish divergence, the cryptocurrency will test several supports. It is also worth noting that it is trading below all three long-term exponential moving averages.
ADA’s failure to decisively flip $0.50 was also a failure to break the pivot point. Since then, the pivot point standard points to a possible decline to as low as $0.34, where the first pivot support lies.
Nonetheless, there is considerable demand concentration at $0.44. The mark has held out against three attempts since the downtrend started. However, the cryptocurrency is trending around this price region, which indicates mounting pressure. If the bull fails to defend it, prices may slip to $0.42.
Having lost the 50% Fibonacci retracement level, the asset will look to rebound at the 61% fib level at $0.41.
Cardano Price Prediction 2024
The 1-week chart reveals further long-term details on the next price actions. The coin had a bearish divergence in April, which increased the 12-week EMA’s volatility. Due to this, the gap between both EMAs is increasing. Despite the most recent downtrends, MACD’s histogram is gradually reducing, indicating the reduction in the space between both EMAs
It shows that the downtrend is gradually coming to an end. The 50-week moving average is currently on the uptrend in reaction to this trend. Nonetheless, the coin is trading below the 50-week exponential moving average.
The asset will attempt the 50-week EMA at $0.48 in the coming weeks. Gaining stability above it will give a clear shot at the 200-week EMA at $0.50. A decisive flip will see the coin trade above its pivot point. This will also offer the much need accumulation point for a go at the first pivot resistance.
In the bid to test R1 at $0.77, the bears will stage massive selloffs at $0.62. The bulls must build momentum at the 78% Fibonacci retracement level at $0.58 to flip this mark.
Nonetheless, failure to keep prices above the $0.42 support will result in a drop to the first pivot support at $0.31.
Price Prediction 2025
Traditionally, the year after Bitcoin’s halving is the most bullish period of the cycle. The crypto market sees tremendous increases, and Cardano is not left out.
The altcoin became a tradeable asset in 2017, the year following the 2016 halving, ADA gained over 700% from its launch price. In 2021, it gained a whopping 619%. During this period, it gained over 650% on average.
It is also worth noting that in 2020, the cryptocurrency gained over 450%. Traders expect a 100% to 200% in 2024. This will mean it will end the year between $0.80 and above $1.
A 650% surge in 2025 may be farfetched. Nonetheless, the asset could gain between 200% and 400%. This will guarantee a stay above the $1 and a high between $2 and $3. Nonetheless, the fourth quarter may offer more in terms of downtrends. It may result in a close above $1.80
Price Prediction 2026 and 2027
2026 will be the most bearish period of the cycle. In 2018, the coin lost 94%, a similar occurrence took place in 2022. This is the usual trend in the second year after an halving.
A drop of this magnitude will send Cardano below $1 having closed above $1.80.
Nonetheless, 2027 will offer more in terms of uptrend as the coin will look to recover lost levels. ADA may end the year trading at $1.50.
