- The ADA coin shows the 20 and 50-day EMA can soon provide bearish crossover
- The ADA/BTC pair traded for 0.00005058 BTC with a loss OF 3.61%
- The 24HR trading volume for The ADA coin is $3.05 Billion.
The remarkable rally for the ADA coin peaked at the $3 mark by September 2 and later entered into a retracement phase. Such minor pullbacks is a good thing for trending coins as it helps to keep them healthy. The coin price has recently bounced from the 0.618 FIB level, gather the hopes for the continuation of the bull rally. However, the shooting star candle at $2.32 indicating intense selling pressure above this level.
Concerning the EMAs: The ADA coin price is trading above the 100 and 200 EMA, indicating a bullish trend in this coin. However, the chart shows the 20 and 50 EMA can provide a bearish crossover, encouraging the market sellers.
The RSI value at 42 indicates a bearish sentiment within the ADA coin. The RSI line also shows a significant decline in its value, indicating that the bears are in charge.
The ADA Coin Shows An Upcoming Descending Trendline In Its Chart.
The ADA coin shows a new descending trendline in the 4hr time frame chart, providing strong resistance to its price. The Crypto traders can use this trendline to take some quick short traders in this coin. Furthermore, a breakout from the resistance can provide an excellent confirmation for the end of the retracement phase.
The moving average convergence/divergence indicator (BEARISH) shows that both the MACD and the signal line are about to cross below the neutral area(0.00), indicating the coin entering bearish momentum.
Cardano Bringing Its First Stablecoin
COTI, a software development company, announced the issuance of the first stablecoin that could be used on Cardano. This news was first announced by Charles Hoskinson (leader of Cardano) and Shahaf Bar Geffen (CEO of COTI Group) at the Cardano Summit in Laramie. The Djed stablecoin, which will be issued on Cardano, will encourage the growth of the ecosystem’s nascent ecosystem.
What is Djed, and why is it required?
Djed’s value is maintained stable through an algorithmic design that leverages smart contract design on the Cardano blockchain. This allows for a price as close to $1. Djed keeps a reserve of base currencies and mines other stable assets to offset fluctuations.
According to their whitepaper, there will be two versions of Djed. A minimal version is intended to act as a medium for exchange, and an extended version uses a continuous pricing model with dynamic fees. This smart contract uses a continuous price model and dynamic fees to respond faster to external events and ensure optimal reserves. It also provides greater security when performing complex operations, such as DeFi protocol transactions.
Conclusion: The overall trend for the ADA coin is bullish from a technical standpoint. However, the price has yet to show any signs that it will continue its rally, but taking advantage of the current bearish price action, the crypto trader might notice some great short opportunity in this coin.
Support – $1.9
Resistance $02.31