Cardano (ADA) has seen a notable uptick in network activity, with active addresses hitting a five-month peak. This surge is attributed to Cardano’s recent upgrade, which has improved engagement within the ecosystem. Despite this, ADA’s price remains under pressure, currently trading around $0.33 after a modest recovery of 2.7% over the past 24 hours. This follows a previous rise of 3.4%, marking consecutive gains after a two-week downward trend(Invezz)(The Currency analytics).
Technical Analysis
Cardano’s price is still grappling with key resistance levels at $0.35 and $0.38. Breaking through these levels is crucial for ADA to shift into a bullish phase. On the downside, the support level at $0.30 is essential for maintaining stability; a breach here could lead to further declines towards $0.28 or lower. The Relative Strength Index (RSI) remains close to neutral, suggesting that while ADA isn’t yet bullish, momentum could shift if trading volume increases(InsideBitcoins.com).
Market Sentiment and Outlook
Cardano’s future performance will largely depend on broader market trends, especially Bitcoin’s trajectory. While network upgrades have improved the platform’s functionality, sustained price increases will require more substantial trading volume and positive market sentiment(The Currency analytics).
In the short term, ADA is positioned for potential growth, but investors should closely watch the $0.35 resistance level and broader market conditions.
