Cardano (ADA) price is facing continued downward pressure, with several technical indicators pointing to a strong downtrend. The ADX indicator suggests that this trend has recently strengthened, confirming that sellers are in control of the market.
Both the Ichimoku Cloud and EMA lines reinforce this view, with ADA trading below key resistance levels and a recent death cross formation indicating continued weakness.
The current trend of Cardano is strong.
Cardano (ADA) ADX has risen to 36.76, a significant increase from around 17 a few days ago. This rise indicates that the strength of ADA’s current trend has strengthened.
The ADX, or Average Directional Index, measures the strength of a trend rather than the direction. Values above 25 typically indicate a strong trend. This high ADX reading confirms that ADA is in a strong downtrend, highlighting ongoing selling pressure.
Currently, ADA price is in a clear downtrend, and the ADX level at 36.76 is strengthening this bearish momentum. A high ADX level indicates that the downtrend is gaining strength.
This may indicate that in the short term, ADA may continue to face selling pressure, and a reversal is unlikely until the ADX starts to decline.
Cardano's Ichimoku Cloud Paints a Bearish Scenario
The Ichimoku Cloud chart for Cardano (ADA) is currently showing a bearish outlook, with the price trading below the cloud. This position usually indicates a downtrend, as the price struggles to gain momentum above key resistance levels.
The cloud itself is red, indicating potential resistance to any attempts at an upward move. The Tenkan-sen (conversion line) and Kijun-sen (base line) lines are also positioned above the price, reinforcing the bearish sentiment and showing that sellers are maintaining control.
Additionally, the EMA lines on the chart confirm the downtrend, with the short-term moving averages lying below the long-term ones. This alignment suggests that ADA is likely to face continued downward pressure in the near term unless a reversal breaks through the cloud.
If the price manages to rise above the cloud, it could indicate a potential change in trend; however, with the current setup, the odds are more towards consolidation or further decline.
ADA Price Prediction: Can ADA Recover From Recent Corrections?
The EMA lines for Cardano (ADA) are showing a strong bearish formation, with all moving averages above the current price and short-term averages below long-term averages.
This match, coupled with the recent death cross, indicates continued bearish pressure and suggests that sellers are firmly in control.
If this downtrend continues, ADA price may soon test the support level at $0.31, and if the bearish momentum remains strong, it may decline further.
However, if the selling pressure weakens and an uptrend emerges, ADA could aim to reach its next major resistance at $0.36, which would mean a potential 9% upside. The direction of ADA’s next move will largely depend on whether the current bearish sentiment turns in favor of buyers.