The current situation with Cardano (ADA) appears alarming. Many indicators point to a potential further decline in the asset's price.
ADA Price Structure
Currently, the price of ADA is hovering around $0.63 within a descending channel. This structure strongly indicates a continuation of the downtrend. Each time the price attempts to rise, it faces resistance and falls back. The latest bounce attempt was no exception: ADA slipped down again.
Momentum Indicators
The MACD indicator shows a bearish crossover, with the MACD line falling beneath the signal line. The histogram has turned red again, indicating that downward momentum is increasing. The Relative Strength Index (RSI) is currently around 37, which is near oversold territory but has not quite reached it yet. This suggests room for more selling before a potential relief bounce.
Whale Activity
According to popular analyst Ali (@ali_charts), large holders have sold over 270 million ADA in just the past week. This sell-off indicates that significant players are looking to reduce their exposure in the market. If this trend continues, it could accelerate a breakdown below the key support level around $0.548.
Current indicators and trends show that Cardano faces increasing bearish pressure. If the support level breaks, the ADA price could continue to decline, testing new lows.
