Cardano price, ever since it dropped hard from the levels around $0.766 levels, traded within high demand area for quite a long time. Later the prices fell drastically to plunge below $0.5 to mark the yearly lows and ignited a significant upswing to reach $0.68. However, the asset failed to surpass the resistance at $0.7 and faced a strong rejection just below these levels. At present, the ADA price firmly stands above $0.55, but these supports may be broken soon.
It has to be noticed that the volume has depleted massively and hence the price could consolidate within very narrow regions soon. Moreover, the price has broken down from the trend line raising speculations of a bearish trend approaching fast. Therefore, as per a popular analyst, the ADA price may drop again below $0.5 to reach $0.45.
As the resistance has been lowered below $0.6, it is expected that the asset may swing within a pre-determined bearish trend. However, the price is yet to test the lower support at around $0.53 as it is consolidating slightly above the ‘Value Area’. Once the assets enter these areas, either it may flip back above $0.6 else drop hard to the support area at $0.45.
Currently, the targets for the Cardano (ADA) price are pretty negative amid the shaky market conditions. The price could initially reach $0.51 to $0.54 initially and if failed to rebound, may eventually test the lower possible target at $0.45 to $0.47 in the upcoming days. However, the prices could consolidate within the lower support to gain some strength and prepare for the next leg ahead.
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Source: https://coinpedia.org/price-analysis/cardano-feared-to-close-the-week-on-a-bearish-note-is-ada-price-preparing-for-a-20-drop/