Cardano (ADA) Forms First 2024 Death Cross
This technical event occurs against backdrop of market uncertainty, adding to speculation about ADA price action
Cardano (ADA), the 10th largest cryptocurrency by market value, has formed what is known in technical analysis as a "death cross." This event marks the first occurrence of such a pattern for ADA in the year 2024.
A death cross is a technical chart pattern that occurs when an asset's short-term moving average crosses below its long-term moving average. This pattern is often interpreted as a bearish signal that could precede a downward trend.
Cardano's ADA witnessed its 50-day and 200-day SMAs cross bearishly over the weekend, confirming the first death cross in 2024.
The last time ADA witnessed a death cross event was in June 2023, when prices briefly rose for weeks before declining. However, Cardano would bottom out four months later before beginning a month-long rally that concluded in highs of $0.76 in March 2024. In the process, Cardano created another golden cross in November 2023.