Cardano Price Today: ADA Face Downside Risk Below $1.0, Is This A Buying Opportunity?
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Cardano’s (ADA) price falls for the second straight day with higher volumes. ADA has breached the tight trading range on February 4 with a gain of 20% toward the interim high of $1.26. As of press time, ADA/USD is trading at $1.09 with more than 5% losses.
- Cardano (ADA) price logs the second day of loss on Friday.
- The long-term downside trend remains intact.
- Expect more losses below $1.00 with an eye on January’s lows.
As per the CoinMarketCap, the pair dropped in its volume by 22% at $1,337,774,492 with the current market cap of $37,110,023,085.
According to Finbold research, a Cardano-based smart contract platform Plutus has risen sharply since the beginning of February. The largest proof of Stake (PoS) blockchain has accumulated 177 new smart contracts to the network as the counting rose from 1,227 on February 1 to 1,304 on February 10.
Furthermore, Cardano achieved another milestone on February 8, when the total number of Cardano transactions surpassed the 30 million milestones. Moreover, despite the increasing acceptance and development, a recent report estimated that ADA is trading at its most undervalued price in almost two years.
Cardano shows no signs of a bullish bias
On the daily chart, Cardano’s price has been trading in a continuous downside trading channel from the highs of $2.46 made in September. Ever since every rise has been utilized as a selling opportunity by the investors. The high made on February 8 is not any exception.
After surging nearly 27% from the January lows, the price remained pressured near the 50-day Simple Moving Average (SMA) at $1.23.
A decisive close below the session’s low would prompt investors to liquidate their holding with the recent support placed near $1.0.
Technical Indicators:
RSI: The Relative Strength Index (RSI) reads at 41 with a bearish crossover indicating the market is overheated.
MACD: The Moving Average Convergence Divergence (MACD) holds below the midline with a bearish bias.
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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