Cardano (ADA) price has been facing significant pressure, falling 20% in 30 days. This drop highlights the ongoing bearish sentiment, with technical indicators suggesting that the trend could intensify further.
Key metrics such as the ADX and Ichimoku Cloud point to strengthening bearish momentum, while price levels near critical support and resistance zones remain pivotal to ADA's near-term direction.
Cardano’s bearish trend is intensifying
Cardano’s ADX is currently at 19.65, up significantly from 12.85 just two days ago. This sharp increase indicates that the strength of the current trend is starting to gain traction, although it still remains in a bearish trend.
The rise in ADX suggests that the bearish momentum may be regaining some control, making it crucial for traders to watch for further developments in the coming days.
ADX ADA. Source: TradingView
In this sense, the Average Directional Index (ADX) measures the strength of a trend, whether bullish or bearish, on a scale of 0 to 100. Values above 25 indicate a strong trend, while readings below 20 suggest weak or non-existent trend strength.
With ADA’s ADX now at 19.65, the metric points to a potential shift from a period of weak trending activity. However, as the altcoin remains in a downtrend, this increase in ADX could signal an intensification of bearish momentum in the near term, raising the possibility of continued price declines unless support levels hold firm.
Ichimoku Cloud Shows Bearish Configuration
Cardano’s Ichimoku Cloud chart displays a predominantly bearish setup. The price is positioned below the red cloud, highlighting the ongoing bearish momentum.
The red color of the cloud (formed by Senkou Span A and Senkou Span B) reflects a bearish sentiment as Senkou Span A is below Senkou Span B. This structure indicates that bearish pressure remains dominant in the market.
ADA Ichimoku Cloud. Source: TradingView
The purple line (Tenkan-sen) is below the orange line (Kijun-sen), reinforcing the bearish trend as the short-term momentum (Tenkan-sen) is behind the long-term baseline (Kijun-sen).
Furthermore, the green lagging line (Chikou Span) is below both the price and the cloud, signaling that bearish conditions have been consistently strong in recent periods. For now, the Ichimoku setup suggests that ADA price is still in a bearish phase with no immediate signs of a trend reversal.
Price prediction
Cardano price currently has a nearby support level at $0.859, which plays a critical role in determining the asset’s next direction. Failure to hold this support could lead to further bearish momentum, with the next target at $0.76.
ADA Price Analysis. Source: TradingView
On the other hand, if Cardano reverses its current trend and gains bullish momentum, it could test the resistance at $0.91. A successful breakout above this level could allow the price to move higher, with targets at $0.99 and possibly breaking above $1.
The article Cardano (ADA) Could Fall Further, According to Indicators appeared first on BeInCrypto Brasil.
