Cardano (ADA) exhibits volatility, with analysts predicting short-term declines for future long-term growth.
Short-Term Correction for Long-Term Gains
Analyst Kenshiyesreel has initiated a short position on ADA, predicting a price drop to the $0.45-$0.50 region for subsequent purchases. "I've shorted $ADA #Cardano at this price with a target of $0.45-$0.50," the analyst stated.
Daily Charts Highlight Bullish Indicators
A golden cross has formed in the daily chart, indicating a bullish trend as the short-term moving average crossed above the long-term. ADA price surged to $0.63, retraced to $0.5947, currently trading above the 9-day and 21-day moving averages. The Money Flow Index (MFI) stands at 69.66, signaling a potential reversal if buying pressure decreases.
ADA’s Key Support Levels and Potential for Bullish Breakout
If ADA support holds above $0.5464, it could rise to the $0.70 resistance level. However, losing support might lead to a decline to the 21-day moving average at $0.4663. Fibonacci retracement levels of 50% and 61.8% support buy zones at the $0.45-$0.50 region.
Cardano's current price dynamics suggest short-term volatility with a positive long-term outlook if key support levels hold.
