These Factors Have A Negative Impact On ADA Price

Cardano has been designed to run smart contracts better than Ethereum.

  • Cardano lost 86.2% off its record high of $3.09
  • ADA is still the 8ThMarket capitalization largest cryptocurrency
  • Cardano’s $1 trading price is still a challenge

After all, Charles Hoskinson, the founder of the ADA network, was one of the developers of the network of what is widely recognized as the “king of all altcoins.”

Hoskinson ensured that Cardano’s work was of a higher quality, increasing its smart contract performance.

But that is not enough, because the price of digital currencies continues to stay low.

Coingecko’s data shows that ADA has changed hands at $0.42. That is 4.3% less than the previous week.

However, it is still one of the 10 most valuable cryptocurrencies by market capitalization. It ranks 8ThWith a value exceeding $14.4 billion

Cardano In Recurring Price Pattern

The ADA/USDT Technical Chart provides a more detailed view into the Cardano’s price movement, which seems to be in a recurring trend.

TradingView

The daily pattern for this asset shows a downward triangle structure. This is the timeframe in which the asset’s price has been responding for four months.

The $0.417 support level, which was already tested three times, appears to be crucial point for ADA for its failure will mean a steep fall for the asset’s trading price.

Within the observed triangle, there is an additional pattern to which Cardano price responds to – a descending wedge pattern. The crypto currently stands at $0.42.

A wedge pattern may encourage a mini bullish momentum in ADA. It could lead to a 9% price increase for altcoin.

Looking Ahead At Cardano Price

Cardano will likely feel downward pressure if it falls below the $0.418 extended support level. This would place it at a lower support of $0.3675.

However, in the event that the opposite happens, ADA might climb to a trading price of $0.4850 and if its demand increases, this level will be surpassed and the asset’s price will shoot all the way up to $0.5835.

Cardano’s greatest challenge at this time is hitting $1, which is lower than the $3.09 record, reached on September 2, last year.

ADA market capital at $14.8 Billion according to the daily chart. Source: TradingView.com| Source: TradingView.com

Image featured from Zipmex. Chart by TradingView.com

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