Ada (Cardano) worried investors by losing more than 23 %value in recent weeks. While the price has long been below $ 1, big investors began to sell the islands in their hands. However, technical indicators indicate that the fall trend may lose its power. If the island can maintain critical support levels, a new wave of rise may begin.
Island declining trend loses its power
The ADX indicator measuring Cardano’s trend power fell from 37 to 23.4. This decrease shows that sales pressure on the island is slowing down. If the ADX value goes below 20, it can be said that the downward trend is completely weakened.
However, the purchase volume needs to increase in order to increase the price. For the time being, the island is expected to test critical resistance levels to move upward. If the bulls are activated, the island may exceed $ 0.75 and reach up to $ 0.81.
Big investors sell islands
Recently, the number of whale addresses holding the island has decreased rapidly. The number of wallets holding 1 million to 10 million islands fell from 2,484 to 2,455. If big investors continue to sell in the market, sales pressure on Cardano may increase.
Reducing the assets of whales shows that market confidence is weakened. However, if these sales are absorbed by small investors, a new balance may occur in the market. If whale movements increase again, the likelihood of the island will be strengthened.
Is $ 1 possible?
The moving averages of the island (EMA) show that the market is a critical period. Although short -term EMAs are under long -term EMAs, the difference between them is not very big. This shows that the price can move in both directions.
If the island exceeds the resistance of $ 0.75, it may rise to $ 0.81. A stronger break can carry the price up to 1.02 and even $ 1.17. However, if the sales pressure persists, the level of $ 0.64 should be followed as a critical support point. The loss of this level may reduce the island to $ 0.58. If the island does not exceed $ 0.75 dollars, investors may need to be careful. If sales pressure increases, the price may test lower support levels. In order to determine the direction of the market, changes in the transaction volume should be closely monitored.
