- Cardano price analysis has been fluctuating between two supports
- The $1.42 price level has turned into an accumulation point for high sellers
- At the time of writing, Cardano is trading at $1.2904
Cardano Price Analysis: General price overview
Cardano price analysis on the weekly chart has been fluctuating between the $1.00 and $1.200 support levels. Tagging both bears and bulls into a balanced fight as who will spearhead the next swing leg. Volatility has been moderately distributed in the past days with medium to narrow daily ranges.
The bulls are hoping to demonstrate a buy-off and consolidate momentum to cup the upside around $1.42. Notwithstanding, the prevailing standoff has resulted in indecision across market participants, with bears anticipating to invalidate a comprehensive consolidation of around $1.35. The $1.42 price level, which also serves as 2018’s high, has turned into an accumulation point for high sell volumes, making it a price hurdle.
Cardano price movement in the last 24-hours: How to clear the ongoing stand-off?
It is hard to determine a straight path of action when a financial market is in a standoff. However, the presence of bears on today’s 24-hour chart is an indication of receding buyers after the coin broke below the $1.3460 in the early trading hours. Cardano failed to break an overhead at $1.3550 on yesterday’s session until sellers exacted a lower pullback to $1.30.
The bulls have been attempting to clear seller volumes around this level between yesterday’s close and today’s opening session. Sadly the bulls are losing the fight and have opened the door for bears to break below the $1.30 first support into the high lows at $1.27 and $1.29. The Bollinger bands are contracted (on-going contraction), suggesting reducing volatility.
On the other hand, the lower band has downslopped on the 4-hour chart showing the possibility of further losses. The current level being traced between $1.30 – $1.00 represents strengthening sellers and will only hold back the price within the current standoff. The best way market can approach the current stalemate is by waging support from the broader market and exerting more buyers to overturn the 2018 high from resistance to support.
Cardano 4-hour price chart: Could the breakdown at $1.2900 invite further losses?
At the time of writing, Cardano is trading at $1.2904 against the US dollar. According to the 4-hour Cardano price analysis, the 200-day simple moving average is hovering around $1.03 and has lost buyer accumulations that made it a strong support approaching the end of June. The only way for buyers to support the next leg upwards is accumulating more buyer volumes, and the best way to get there is for Cardano price to hit levels above $1.42.
At this point, investors could use the opportunity to buy in more accumulation as they prepare the next leg of the bull run towards the all-time high. Cardano has not witnessed any substantive gains in the month of July. We are only two days into the month, and both bulls and bears face heightening indecision. The coin has already broken below $1.30, and more weaknesses could render the price of ADA bearish and result in a strong downswing towards $1.00.
Cardano price analysis conclusion: Where is Cardano heading to?
The overall market is experiencing lots of pressure from financial regulators which could be the main cause of the prevailing stalemate between the bulls and bears. Experts believe the current bear market might have not lasted this long were it not for the crackdown of crypto activities in China, the United Kingdom and Mexico.