Eyes on where Cardano (ADA) price trends next
A broader assessment of macroeconomic factors by investors contributed to a decline in cryptocurrency valuations early Saturday.
Cardano (ADA) was among the affected assets, experiencing a reduction of up to 3%, reaching a nadir of $0.7353 before a modest rebound.
Data sourced from CoinGlass indicated that the cumulative value of cryptocurrency liquidations within the preceding 24-hour period reached $298 million.
Market Sentiment and Recent ADA Performance
The total capitalization of the cryptocurrency market stood at $3.28 trillion, having relinquished gains achieved earlier in the week that had momentarily established a new weekly peak.
At the point of this analysis, Cardano (ADA) demonstrated depreciation across multiple analytical timeframes.
Over the most recent 24-hour span, the digital asset incurred a 1.63% loss, valuing it at $0.767, which extended a three-day sequence of price decreases observed since May 13.
Profit-Taking Meets Advocate’s Long-Term View
An elevation in risk appetite earlier in the week had propelled Cardano to a peak of $0.8645 on May 12; however, this ascent was followed by a downturn as market participants moved to realize gains.
Amidst this downward price movement for ADA, Dan Gambardello, a recognized proponent of Cardano, indicated a lack of surprise, framing the current retraction within a broader strategic outlook.
Via a statement on X, Gambardello posed, “Tell me if you think I’m surprised by this Cardano pullback.”
Affirming his well-established optimistic perspective on ADA, Gambardello posited that the impending bull market phase for Cardano is anticipated to be “especially fun” during this particular market cycle.
Thereby suggesting that transient price declines are considered incidental to a more substantial, overarching positive trajectory.
Technical Outlook: Key Support and Resistance Levels
Should market conditions improve, ADA’s immediate objective could be to recapture the 200-day Simple Moving Average (SMA).
Situated at $0.803, as a precursor to challenging the $0.8645 resistance. Successfully surmounting these thresholds could potentially lead to an ascent towards the $1 valuation.
Conversely, sustained depreciation might result in ADA testing the 50-day SMA at $0.68, with a subsequent, more consolidated support level identified at $0.60.
Fundamental Strengths and Investor Conviction
Notwithstanding these technical considerations, the confluence of evolving fundamental strengths and persistent accumulation by whales underpins a belief among certain market observers.
Gambardello included that Cardano is currently undergoing a preparatory phase preceding its next significant upward price movement.
