Cardano (ADA) Faces 30% Price Cut: Is Another Decline on the Horizon?

Cardano's Downturn: A 31% Price Drop Over the Last Month

Last month, Cardano faced a significant obstacle in surpassing the golden ratio resistance at approximately $0.86. Subsequently, the cryptocurrency entered a corrective phase, resulting in a 31% decline overall. The Moving Average Convergence Divergence (MACD) histogram shows a bearish inclination.

Continuation of Correction for Cardano Price?

A conceivable scenario for the ADA price involves a bullish rebound from the current Fib support level at approximately $0.584. If this occurs, Cardano could ascend towards the golden ratio at around $0.72. However, a bearish rejection might push the price down to the golden ratio support at approximately $0.44.

• If Cardano breaches $0.72, a golden ratio resistance, the price could target $0.86.
• The 50-month Exponential Moving Average (EMA) at $0.46 acts as crucial support in case of a substantial correction.

Short-Term Upward Shift for Cardano Price?

If Cardano initiates a bullish rebound from the 0.382 Fib support level at approximately $0.584, it could potentially surge by around 22% to reach the golden ratio resistance at $0.72. The 50-day EMA at $0.624 may pose as a resistance level. The daily chart still shows bullish signals with the MACD lines likely to cross bullishly soon.

Bearish Signal: Death Cross Emerges on Cardano's 4-Hour Chart

A death cross among the EMAs confirms the short-term bearish trend in the 4-hour chart. The MACD lines' bearish crossover further supports this sentiment. Cardano also faces crucial horizontal support levels against Bitcoin, with a possibility of rebounding from current support or facing a decline to the next support levels of ADA/BTC.