Despite notable price drops across the cryptocurrency market, Cardano (ADA) has held steady above the crucial $0.74 support level. Additionally, ADA’s four-hour chart appears to be mirroring XRP’s, which looks bullish.
Current Price Momentum
Currently, ADA is trading near $0.77 and has dropped 3.25% in the past 24 hours. However, during the same period, its trading volume surged by 45%, indicating heightened participation from traders and investors.
Cardano (ADA) Bullish and Bearish Levels
Despite market fluctuations, the $0.74 level will play a crucial role today. Based on recent price momentum, this level will determine whether ADA sinks or gains upward momentum.
On the positive side, if ADA holds this level, there is a strong possibility it could soar 10% to reach $0.85 in the coming hours. Additionally, if the bullish rally continues, it could gain another 20% to reach $1.01 in the coming days.
On the bearish side, if ADA fails to hold the $0.74 level and closes a four-hour candle below it, there is a strong possibility of a 10% drop to $0.65.
Besides this smaller price range, expert technical analysis suggests that ADA has been forming an ascending triangle pattern, similar to XRP, on the four-hour timeframe.
$1.45 Million Worth of ADA Inflow
Looking at the recent price momentum and Bybit’s $1.4 million crypto hack, investors and long-term holders have been cashing out their holdings, as reported by the on-chain analytics firm Coinglass. Data from spot inflow/outflow reveals that exchanges have seen an inflow of $1.45 million worth of ADA tokens in the past 24 hours, indicating a potential sell-off.
In a bearish market sentiment, even a small inflow or sell-off can impact overall sentiment, increasing selling pressure and causing a further price drop.
