Cardano fails to maintain price level above $2; Figures continue to remain bearish

Cardano’s [ADA] price on the daily candle is up by nearly 1% at the time of writing. However, the token still hasn’t been able to pick up the pace and re-claim the lost support levels at $2. The current support level rests at $1.980, while bears brought down the price action below this level.

The nearest resistance for the price action rests at $2.056, which remains unbroken. Prices fell below this level back on 27th October, and since then, the token has remained bearish. A huge daily candle was seen, taking the prices down from $2.13 to $1.9, i.e., a drop of more than 10%.

According to the data from Coinmarketcap, the ADA/USD trading pair hasn’t been quite bullish in the past few weeks. Moreover, the market capitalization of the token rests at $65.6 billion with a 24-hour trading volume of $2.4 billion. Although it is one of the most actively traded tokens, the prices have been ranging sideways since the drop on 27th October.

Cardano price analysis on the daily chart using technical indicators

According to Cardano’s price analysis on the daily chart by TradingView, the position of the price action inside the Bollinger Bands concludes a bearish trend. The price action is situated in the lower end of the Bands, which followed a breakout from the lower end on 27th October.

The price action broke down below the 100-day and 50-day Moving Averages, while the 100-day Moving Average is currently trying to cross above the 50-day Moving Average. This also hints at a bearish scenario.

Cardano price analysis on the daily chart by TradingView

The ADA/USDT price chart shows that the buying orders are way weaker in numerical strength than the selling order. This is clear from the fact that the RSI line is just near the 40-level, below the neutral 50-level.

Furthermore, the MACD indicator shows a red histogram in which the signal line (orange line) is defeating the MACD line (blue line), but the gradient is slightly positive, and higher prices are possible today.

Cardano price analysis on the daily chart by TradingView

Final Verdict

According to TronWeekly, the Cardano price action has remained quite bearish in the short term, and a downtrend can be seen on the daily chart. However, the trading volume is still huge, and the number of projects just keeps on increasing. Therefore, ADA is considered one of the best Ethereum-killers out there.