Cardano Price Signals Extended Decline As Metrics Flash Red

Summary:
• Cardano price is under rising pressure as some altcoins like XRP hold a greater promise. What are the odds of ADA price recovery?

Cardano price continues to struggle even as the broader crypto market signals signs of a recovery. ADA has been trading in a tight range of between $0.718-0.768 for the last seven days, effectively positioning immediate resistance at $0.800. It has been a rough outing for the coin in recent weeks, with its returns in the last month at -10%. That has resulted in a prevailing bearish sentiment that could limit its ability to reclaim the psychological $1 mark.

The Odds Are Stuck Against ADA Price Upside

ADA price recovery has also been overshadowed by news surrounding the SEC’s withdrawal of its appeal case against XRP issuer, Ripple Labs. As a result, altcoin investors are likely to be more willing to cast their lots with XRP than ADA.

In addition, IntoTheBlock reports that Cardano price correlation with Bitcoin has diverged significantly this week, with the coefficient reading at 0.37. Such weak correlation signals that ADA might take a longer time to return to the upside despite Bitcoin’s return to the $85k support level.

US President Donald Trump is scheduled to speak at the Blockworks Digital Assets Summit in New York on Thursday, and his comments could inject fresh volatility into the crypto market. Trump’s comments previously bumped up Cardano price after he listed ADA among the five cryptocurrencies to be included in a Strategic Federal Cryptocurrency Reserve.

Cardano Price Prediction

The momentum on Cardano price signals the likely continuation of the downside below the $0.737 pivot. The ADAUSD pair will likely meet its initial support at $0.724. However, a stronger downward momentum will break below that level and could send the action lower to test the second support at $0.711.

Alternatively, moving above $0.737 will usher in the buyers to take control, with immediate resistance likely to be at $0.749. The downside narrative will be invalid if the price breaks above that level, and the resulting momentum could clear the path to move to the next hurdle at $0.760.