Cardano (ADA) faced significant downward pressure, with its price dropping 15% in 48 hours. As a result, the altcoin failed to hold the $1.00 support.
This drop triggered panic selling among investors, amplifying bearish sentiment in the market.
Cardano Investors Move to Sell
Realized profits for Cardano have skyrocketed dramatically over the past 24 hours, reaching a 9-month peak of 307 million ADA. This increase, valued at approximately $276 million, highlights the intensity of the panic selling.
The selloff coincided with the altcoin’s price drop, reflecting growing skepticism among investors about the altcoin’s short-term recovery prospects.
This sentiment indicates that many holders chose to lock in their gains as the price dipped below $1.00. The increased selling activity illustrates a lack of confidence in the altcoin’s ability to recover quickly, adding further pressure to its downward trajectory.
Cardano Realized Profits. Source: Santiment
Macro momentum is also showing signs of weakness as the MACD indicator nears a bearish crossover. Less than a week ago, ADA displayed a bullish crossover, but the move to bearish highlights the impact of broader market cues on the cryptocurrency. This suggests that the asset could face additional downward pressure in the coming days.
The broader market’s influence has made the altcoin vulnerable to corrections. The potential for further declines is evident as bearish momentum gains momentum, driven by market uncertainty and investor skepticism.
Cardano MACD. Fonte: TradingView
Price prediction
Cardano currently sits at $0.92, reflecting a 15% drop in the past 48 hours. Losing the $1.00 support level has left the altcoin exposed to further selling pressure, making $0.85 the next critical support level.
A drop to this level could result in consolidation above $0.85 and below $1.00, as seen in previous corrections.
If the price stabilizes at $0.85, it could enter a consolidation phase, limiting further losses while the market recalibrates. This period could allow the altcoin to gain momentum for a potential recovery.
Cardano Price Analysis. Source: TradingView
However, reclaiming $1.00 as support would be a significant milestone for Cardano. Such a move could invalidate the bearish outlook, allowing the altcoin to recover its recent losses. A successful rebound could push ADA’s price to $1.23, restoring investor confidence and encouraging further accumulation.
The article Bears Take Control of Cardano (ADA): What to Expect Now? appeared first on BeInCrypto.
