Cardano, a popular proof-of-stake cryptocurrency, remains in a bear market after a significant decline. However, some data and technical indicators point to a potential bullish breakout in the coming weeks or months.
Current Cardano Market Situation
Cardano has recently dropped about 50% from its peak level in November. This decline is partly due to profit-taking and ongoing economic concerns related to US trade tariffs.
MDIA Data
According to Santiment, the Mean Dollar Invested Age (MDIA) indicator continues to rise. The 180-day MDIA has increased to 10.68, while the 2-year MDIA has climbed to 103. This indicator often accompanies significant market rebounds, showing the average age of investments into the currency.
Cardano Price Technical Analysis
The daily ADA chart shows that the price is in a slow downtrend. In recent months, a bearish pennant has formed, but a broadening wedge also appears, which could signal a future rise. Most likely, there will be a drop to the wedge's lower boundary at $0.555, followed by a potential uptrend.
In conclusion, despite current bearish sentiment, there are indicators suggesting the potential for future bullish growth for Cardano.
