Connect with us
Active Currencies 14791
Market Cap $2,469,545,528,576.10
Bitcoin Share 51.84%
24h Market Cap Change $-2.13

Cardano [ADA] moves sideways, investors can look for gains at these levels

2min Read
Cardano [ADA] moves sideways, investors can look for gains at these levels

Share this article

  • ADA traded in range into the weekend. 
  • Demand in the derivative markets improved, but sentiment remained negative. 

Cardano [ADA] consolidated into the weekend and oscillated between $0.3630 and $0.3676. Similarly, Bitcoin [BTC] traded between $23.23K and $29.96K as it struggled to maintain the $23K level. 


Read Cardano [ADA] Price Prediction 2023-24


Is a breach of the consolidation range likely?

Source: ADA/USDT on TradingView

ADA fell 5% after the U.S. PCE data confirmed inflation rose in January. The Ethereum rival dropped from the 50% Fib level of $0.3831 but found steady support at the 23.60% Fib level of $0.3630.

It has since oscillated within the $0.3630 – $0.3676 range, which investors could use for targets. 


Is your portfolio green? Check out the ADA Profit Calculator


Short-term sellers could target the 23.60% Fib level of $0.3630 for gains. On the other hand, near-term bulls could benefit by targeting the upper range boundary of $0.3676. A breach of the consolidation range would invalidate the neutral or sideways market structure described above. 

In the event of an upside breakout, bulls could watch out for $0.3696, 38.2%, and 50% Fib levels which are significant resistance levels. Similarly, a bearish breakout calls for short-sellers attention at $.3580 and $0.3450. 

The Relative Strength Index on the three-hour chart hovered in the lower ranges, reinforcing the bearish sentiment at the time of writing. 

ADA saw a demand spike in the derivatives market, but sentiment remained negative

Source: Santiment

According to Santiment, Funding Rate recovered after a sharp decline on Friday (24 February). It shows demand for the ADA significantly improved after Friday’s decline.

Moreover, the Mean Coin Age  (90) showed a rising slope, hence a wide-network accumulation of the token, which points to a potential bullish trend. As such, the demand could bolster bulls to inflict a recovery. 

However, the weighted sentiment was negative at the time of writing. In fact, it slid deeper into the negative territory, indicating countering metrics that could suggest a continuation of the sideway structure described above. 

Share

Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.