ADA Holds Above $0.74 as Bulls Eye $0.85

Cardano (ADA) Price Prediction for February 22

The cryptocurrency market has witnessed significant price drops, but Cardano (ADA) has maintained its position above the critical $0.74 support level. ADA's four-hour chart mirrors XRP's, indicating a bullish trend. Currently, ADA is trading near $0.77, with a 3.25% drop in the past 24 hours. However, trading volume surged by 45% during the same period, suggesting increased participation from traders and investors.

The $0.74 level is a crucial determinant for ADA's price movement today. If ADA holds this level, it could potentially soar by 10% to reach $0.85, the next resistance level. Conversely, if ADA falls below $0.74, it could drop by 10% to reach the next support level of $0.65. Technical analysis suggests that ADA has been forming an ascending triangle pattern, similar to XRP, on the four-hour timeframe.

Recent price momentum and the $1.4 million crypto hack on Bybit have led to investors and long-term holders cashing out their holdings. Data from spot inflow/outflow reveals that exchanges have seen an inflow of $1.45 million worth of ADA tokens in the past 24 hours, indicating a potential sell-off. In a bearish market sentiment, even a small inflow or sell-off can impact overall sentiment, increasing selling pressure and causing a further price drop.