$ADA
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Cardano (ADA) is facing a critical crossroads, with technical analysis suggesting a potential decline to $0.42 if key support levels fail to hold.
Cardano (ADA) prices rose over 3% on Friday amid a crypto market bullish surge. This little improvement follows a poor week. Notably, famous crypto expert Ali Martinez believes the ninth-largest cryptocurrency might suffer worse market losses if technical support fails.
Cardano Could Fall 36% After Critical Support Break
Support and resistance zones are often identified using horizontal Fibonacci retracement levels. Their Fibonacci sequence-based predictions of price drops, gains, consolidations, and reversals are popular.
According to the chart below, ADA trades at $0.66, slightly above the 50% Fibonacci retracement level at $0.63, which has been a reliable support level in previous weeks. Ali Martinez cautions that a daily closing below $0.63 would indicate a negative market change and lead to further drop.
Cardano might fall to the next major support at the 61.8% Fibonacci retracement level at $0.53. ADA prices might fall below $0.42, the 78.6% Fibonacci retracement level, if selling pressure persists.
After peaking at $1.30 in early December 2024, Cardano has failed to stay positive. Since then, ADA prices and the crypto market have corrected.
ADA bulls must defend $0.63 to stay positive. However, reclaiming the $0.78-$0.80 price zone would imply an altcoin price bounce and market comeback.
In the previous 24 hours, trade volume has increased 19.56%, demonstrating market interest. Due to buyer conviction, the current price surge may continue.
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