Cardano (ADA), one of the mainstream cryptocurrencies, is presently being completely oversold. The coin now has a huge selling pressure. The altcoin, at press time, is trading at $0.8219, with a declining rate of 0.89%. It has a volume of $1.19 billion and a market cap of $29.42 billion.
Traders and investors are now closely monitoring for an important decision from the part of the government. The decision can be regarding the Cardano Foundation and Input Output Global (IOG), which could mainly influence the network’s near-term course. This decline of 0.89% can be due to the basic downward sentiment of traders towards all altcoins. This sentiment may be triggered by regulatory issues and macroeconomic events.
Also Read: Cardano Eyes Major Breakout, Rally Could Hit $1.20
The ADA environment is getting ready to introduce major governance and staking protocol updates as part of its larger idea known as the ‘Voltaire Era.’ This decision revolves around the introduction of a timeline of on-chain community governance and treasury control.
Even though there are short-term executional risks and technical issues, this act could make decentralization stronger. This can also bring more long-term sustainability.
According to the data provided by TradingView, the coin is currently experiencing resistance (blue) at $0.837 and can go up to $0.840 if the coin further boosts the resistance level. The coin’s support level (yellow) is at $0.816 and can dip down to $0.800 if the coin goes beyond that.
The moving average indicator given in the chart suggests that the coin is going through a bearish momentum since the MA line is above the candlesticks. The relative strength index (RSI) is at 33.62 and 31.17 medians, which suggests that ADA is going through an over-selling phase.
Also Read: Cardano (ADA) Price Outlook: Resistance Near $1.00 Could Unlock Rally Toward $1.50
According to the data given by CoinMarketCap, 88% of the traders believe that the coin will have a bullish momentum in the coming days due to high selling pressure. The rest 12% doubt the bearish trend to continue.
Retail sentiments of the coin remain mixed. The governance overhaul and all other macroeconomic developments will decide the coin’s future going forward, making analysts monitor closely.
Also Read: Cardano ETF Speculation Grows as Analysts Eye $1.86 Breakout
Also read: SEC Reportedly Ready to Ease Rules for Crypto Startups
