- ADA’s price dropped by more than 1.9% in the last 24 hours.
- The chances of ADA’s price remaining in a consolidation phase were high.
Cardano’s [ADA] price did witness a promising uptrend last week as its chart turned green. However, after reaching its highest point last week on the 30th of January, its price started to go down.
If the latest data is to be considered, investors might not be able to see major price upticks anytime soon.
What is Cardano up to?
After a good start, the ADA’s price fell, as it only managed to move up by 2% in the last seven days. In fact, its daily chart turned red, as according to CoinMarketCap, Cardano’s value dropped by 1.9%.
At the time of writing, ADA was trading at $0.5078 with a market capitalization of over $17.9 billion, making it the eighth-largest crypto.
The price trend might continue for some time, as ADA was acting interestingly. Ali, a popular crypto analyst, recently posted a tweet revealing that ADA was mirroring its late 2020 price behavior.
Should the patterns align and #Cardano mirrors its late 2020 price behavior, we can anticipate $ADA to remain in a consolidation phase until April 2024, setting the stage for its next bull rally! pic.twitter.com/xEKu1LQRRo
— Ali (@ali_charts) February 3, 2024
If ADA continues to behave in the same manner, then the chances of Cardano remaining in a consolidation phase until April 2024 seem high.
This meant that investors might have to wait for a few months to witness a considerable rise in the token’s price.
Patience is the key!
To see what to expect from ADA, AMBCrypto checked its daily chart. As per the MACD, the bulls and the bears were in a battle to gain an advantage over each other.
Both the token’s Relative Strength Index (RSI) and Chaikin Money Flow (CMF) were resting near their respective neutral marks.
This indicated that investors might witness quite a few slow-moving days soon.
Also, the Bollinger Bands pointed out that Cardano’s price was entering a less volatile zone from a high one, further suggesting less upward and southward price movements.
Source: TradingView
AMBCrypto’s look at Hyblock Capital’s data also painted a similar picture. As per our analysis, Cardano has a strong support zone near the $0.48 mark. Similarly, there was a prominent resistance zone at $0.53.
Combining this data with the market indicators, it seemed that ADA’s price might remain in this band for quite some time. Therefore, investors must be patient to witness ADA reach new highs.
Source: Hyblock Capital
Is your portfolio green? Check out the ADA Profit Calculator
Meanwhile, Cardano had amplified its efforts on the development front. AMBCrypto reported earlier that ADA’s development activity has been on the rise.
High development activity in the bearish market is generally considered to be a positive signal.