Cardano price analysis is showing a downward trend after the bearish engulfing candle. The latest trading session shows that ADA is trading in a range-bound move within the $0.37 and $0.39 levels. It appears that bears are trying to pull prices lower as the bearish momentum is increasing. In addition, the selling pressure is likely to increase if prices break below the $0.3782 level. On the upside, there is major resistance at the $0.39 level which can be difficult for ADA bulls to cross. If they succeed in pushing prices above this level then we can expect a further upwards momentum in Cardano price.
Cardano price analysis 1-day chart: ADA breaks below the $0.3900 level
On the 1-day Cardano price analysis chart, ADA is trading near $0.3900 levels which is below its previous day’s close of $0.3921. This indicates a bearish momentum in Cardano price and it looks like that bears are likely to dominate the market in the short term. ADA/USD is down by 0.38% and trading at 0.3862 level. The 24-hour trading volume is also low at $272 million, with a decrease of 35%. Looking at the market cap, it is currently trading at $13.34 billion, with a 24-hour decline of 3.15%.
ADA/USD 1-day price chart. Source: TradingView
The 50-day moving average is below the 200-day moving average which indicates that the bearish are still in control of the market. The MACD is showing a bearish crossover which again supports a downward move in ADA prices. If bears can sustain their momentum then we can expect a further downward trend in Cardano price. The decrease in ADA price is also supported by the relative strength index (RSI) which has dropped down to 70.14 levels.
Cardano price analysis: Bears are still dominating the market
The 4-hour Cardano price analysis shows a descending triangle formation which is a bearish pattern. The market is making low highs and low lows which indicates that bears have an upper hand in dominating the market. The bulls were in the market the previous day but they failed to push prices above the $0.3900 level which is a bearish sign. However, ADA/USD is trading above the important support level at $0.3782 which can be a positive sign for the bulls, if buying pressure increases.
ADA/USD 4-hour price chart. Source: TradingView
The technical indicators are also reflecting a bearish trend in Cardano price. The MACD is moving downwards and it is below the signal line in the negative territory which indicates that bears have an upper hand in dominating the market. In addition, the RSI indicator is also trading at 58.11 levels which signifies that ADA/USD is in a bearish zone. The moving average (MA) is at the $0.386 mark, also below the price level.
Cardano price analysis conclusion
According to the above Cardano price analysis, ADA is exhibiting a bearish trend and it looks like bears are likely to dominate the market in the near term. The technical indicators are also supporting a bearish move and it looks like if bears can sustain their momentum then we can expect further downward movement.