ADA is moving sideways above the 64 cents support.
Key Support levels: $0.64, $0.45
Key Resistance levels: $0.90, $1.3
1. Momentum Stalls
In the past two weeks, ADA’s volatility only managed a 2% price movement. This is quite low, but allowed the price to consolidate above the key support at 64 cents. However, this also shows a lack of clear momentum which may make it difficult for buyers to push ADA higher at this time.
2. Buyers and Sellers are Absent
Without volatility, market participants appear shy to engage with ADA on the orderbooks. This is visible in how little the price has moved recently. Nevertheless, the price is consolidating here and this period could be followed by a significant move once the balance of power shifts between bulls and bears.
3. Volume in Decline
The lack of volatility can also be explained by a falling volume. This is clearly visible on the daily volume profile which has been in a downtrend since the Trump tweet about ADA and the US Crypto Strategic Reserve. At the time of this post, Cardano’s volume is at the lowest level since the month began.
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).
LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!
