Cardano Drops 13% In Week, Eyes $0.59 Support

Cardano's price has been on a downward trajectory, currently trading at $0.64 after a 13% decline over the past week. This correction has led to a lack of investor enthusiasm, with prices moving sideways on daily charts. Market technician Jonathan Carter predicts that despite this slump, Cardano's price could still reach $1 in the coming months. Carter's analysis suggests that the recent decline has seen Cardano fail to stay above the $0.65 support level, indicating a potential downtrend towards a new support zone of $0.59. According to Carter, this new support zone could serve as a springboard for Cardano's price to rebound and reach $1.

Carter's analysis also highlights the possibility of a further slump below $0.60 before the start of a rally. He notes that while some investors are eyeing an ADA bounce to $0.70, a more plausible scenario could be a decline below $0.60 before the price starts to rise again. Carter emphasizes that despite the long correction, the price still has a chance to bounce off the $0.59 support and rise towards $1. If this does not happen, the price could fall to the lower border of the broadening wedge.

Despite the negative sentiment surrounding ADA's price, there are several positive fundamentals supporting Cardano. The cryptocurrency's price spiked following the confirmation of Ripple’s RLUSD on ADA by Charles Hoskinson. Additionally, Hoskinson revealed that Cardano will play a significant role in Bitcoin's decentralized finance (DeFi) applications. Technically, Cardano's price is forming a cyclical pattern from 2024 that could send prices to astronomical proportions in May. While some predictions peg prices at $2.5, optimists suggest that ADA reaching $10 is not an unrealistic hypothesis, given its solid fundamentals and over 1,000% spike to set its all-time high back in 2021.