Cardano (ADA) is preparing for the Cardano Node 9.0 hard fork, which is expected to lead the blockchain towards the Voltaire era.
ADA price has been under strong bearish influence, with the rally stuck below $0.5 for more than two months.
Technical indicators suggest that sellers have the upper hand, and the price remains stuck around the 0.382 Fibonacci level.
While some consider Cardano to be a passive or even dying blockchain, and its native token ADA is often deemed “dead” due to its inability to achieve significant price gains, the platform continues to show bullish signs as it prepares for the upcoming Cardano Node 9.0 hard fork.
This hard fork is expected to pave the way for the Cardano Chang fork, which will ultimately lead the blockchain towards the Voltaire era.
Interestingly, shortly after the founder, Charles Hoskinson, shared the update regarding the hard fork, the ADA price began to gain some momentum, albeit without a notable increase in trading volume. However, the current trade set-up suggests that the price is on the verge of experiencing a significant price action.
Cardano stays in a bearish stance
Since facing rejection from the yearly highs near $0.8, ADA’s price trend has been under the strong influence of bearish sentiment, with the rally remaining stuck below the $0.5 level for more than two months.
Despite the prolonged bearish trend, the current trade set-up indicates that the price may soon witness a decrease in selling pressure as the bulls are preparing to initiate a steady ascending trend.
In the past few days, the ADA price has experienced a 50% pullback, which has caused a sense of disbelief among market participants, consequently hampering the buying pressure as the bears maintain a strong dominance over the rally. Despite multiple attempts, the price consistently fails to surpass the crucial 50-day moving average, which further validates the bearish influence over the token.
Additionally, technical indicators such as the On-Balance Volume (OBV) are heading towards the lower threshold, and as OBV is a momentum indicator, sliding levels suggest that sellers have the upper hand over buyers, indicating that the trend may continue to follow a descending path.
Based on the chart patterns, the ADA price is currently stuck around the 0.382 Fibonacci retracement level, and a pullback to the 0.236 level may attract fresh liquidity to the platform.