As the bearish trend returns in the crypto market, Cardano's price has experienced a significant decline in the last three days. The altcoin market cap is currently trading at $0.255, a decline of 9.3% after the recent rally of $0.28. In the midst of this decline, sellers breached the support trend line of the bearish pennant pattern, which can be considered a sign of a prolonged decline in the near term.
Cardano (ADA) Review and Future
#Cardano (ADA) coin review, future and technical analysis data are in this article. Bear pennant formation signals can extend the decline.
The bearish pennant formation offers a small pullback in the prevailing trend to renew depleted bearish momentum.
Coin buyers experience demand pressure around $0.25
The intraday trading volume of the Cardano cryptocurrency is $124 Million, which means a loss of 33%.
On August 31, the cryptocurrency price experienced a major breakout from the support trend line of the wedge pattern. This pressure is expected to offer sellers additional resistance to push prices lower.
However, falling prices faced demand pressure at the $0.25 level, as evidenced by the low price rejection on the daily chart. If the buying pressure increases, #ADA price may witness a minor pullback to retest the breached support trend line.
The rise could confirm price sustainability for lower prices and present an opportunity for traders to short sell. If the market continues to support the bear, a post-retest decline could send prices down 17% to $0.22.
Interestingly, the last consolidation phase in Ada traded within the price range of the August 25 candle. Therefore, $0.278 and $0.238 act as potential resistance and support respectively. If the expected decline witnesses increased demand at $0.238, ADA price could recover from this support and trend sideways.
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