Cardano (ADA) is currently trading in a narrow range between 0.64 USD and 0.60 USD over the past four days, reflecting a state of indecision in the market. However, technical indicators suggest a mix of current trend weakness and early signs of potential upward momentum.
ADX Indicator: Weak trend but showing signs of awakening
Currently, Cardano's Average Directional Index (ADX) records 16.66, a low level indicating a weak or non-existent trend.
- What this means:
- Readings below 20 reflect a weak or uncertain trend.
- Although the index had previously dropped to a low of 12 just one day ago, it has started to rise slightly recently, indicating the possibility of rebuilding momentum.
If this trend continues and the ADX rises above 25, it may indicate the beginning of a meaningful upward trend. Until then, the market remains fragile, and caution should be exercised.
Whale activity: slight but unsustainable rise
Wallets holding between 1 million and 10 million ADA saw a notable increase from April 13 to April 17, rising from 2,384 to 2,417, the highest level since early April.
- But:
- This growth quickly slowed, as the number slightly decreased to 2,416.
- This slowdown indicates that the accumulation process was short-lived and not strong enough to change the overall market sentiment.
Whale activity is important, as large wallets can significantly influence price movements. However, it appears that current momentum is still limited, reflecting hesitance or weak conviction among key players.
Lines #EMA. : Signals of a potential golden crossover
The Moving Averages (EMA) for ADA suggest market consolidation, but short-term averages have begun to slope upwards, indicating the possibility of a golden crossover soon.
- If resistance at 0.64 USD is broken, this may push the price towards new levels:
- 0.66 USD
- 0.70 USD
- In the case of a strong rise, it could reach 0.77 USD, an area not seen for over three weeks.
- However:
If support at 0.59 USD fails, this could lead ADA into a deeper downward trend, with the possibility of falling to 0.51 USD.
ADA Price Analysis: Waiting Area
So far, it seems that Cardano stands at a crossroads:
1. Upward Scenario:
- If resistance at 0.64 USD is breached, the market may witness strong upward momentum.
- Target levels will be 0.66 USD, 0.70 USD, and possibly 0.77 USD.
2. Downward Scenario:
- If support at 0.59 USD fails, the price may slip to lower levels such as 0.51 USD.
Summary: Waiting for a breakout or breakdown
With the market remaining in a state of anticipation, indicators suggest that the next movement depends on whether buyers or sellers will take control.
- For an upward move: resistance must be broken at 0.64 USD.
- For a downward move: support must be tested at 0.59 USD.
Until then, Cardano (ADA) remains in a waiting zone, with early signs of a potential upward shift but with clear downside risks.