Cardano (ADA) price has been consolidating around a key support zone since yesterday. The technical analysis reveals that a breakdown from here will be extremely bearish. ADA coin is showing a lack of volatility, but this may change soon.
On Wednesday, the digital assets are having another red day as the BTC price consolidates around the $29,200 level. The weakness in the biggest cryptocurrency is affecting the whole market. Consequently, Cardano (ADA) slid by 0.33% today. On a weekly basis, the price is down 4.54%.
According to the latest Cardano news, there has been a significant TVL increase over the past few months. Since the start of 2023, the TVL has surged more than 250. This TVL increase can be attributed to the increased network adoption.
Despite a massive increase in, Cardano price has failed to show a similar increase. The native asset ADA of the L1 platform is currently trading only 22% above its yearly open. The cryptocurrency experienced a sharp sell-off as SEC declared it security but showed significant recovery after Ripple’s court win.
Although the ADA coin is currently up more than 37% from its June lows, the bears are still quite dominant. On the 4H chart, the price is currently retesting the upward trendline and consolidating around the key psychological level of $0.30.
A breakdown below the $0.30 level will make Cardano price prediction extremely bearish. In this case, the first major target for the bears would be the recent low of $0.22. This would mean a 27% price decrease from the current level. Today’s FOMC statement may act as a catalyst for the next major move.
This post was last modified on Jul 26, 2023, 15:12 BST 15:12