- A slight increase of 2.27% has been observed in the ADA crypto price during the weekly trading session.
- Cardano price has been performing in a descending channel since March 14, 2024.
- A hike of 76.39% can be seen in the trading volume in the last 24 hours.
Cardano (ADA) is an open-source project that aims to allow decentralized applications (DApps) and smart contracts to be built with modularity. The agriculture companies used this platform to track fresh produce from field to fork. Founded in 2017, the project focuses on redistributing power from unaccountable structures to the margins to individuals. By holding the ADA native token, users can have the right to vote on any proposed changes to the software.
Cardana May 2024, Performance, Supply Changes & Valuation
With a current market cap of $16.39 Billion, Cardano placed itself amongst the world’s top 10 most dominant cryptocurrencies. In the last 7 days, the crypto has experienced a rise of 3.50% in its value, which is outperforming the global cryptocurrency market by 1%. However, ADA is underperforming when compared to similar Layer-1 (L1) cryptocurrencies, which have increased by over 4%.
There are 35.66 billion ADA tokens circulating in the market, which covers 79.25% of the overall supply. 36.85 billion tokens have been created, and the maximum supply of ADA crypto is capped at 45 billion. The project’s total diluted valuation is estimated at around $20.65 billion.
Price to Volume & Social Dominance Analysis
The social buzz of Cardano covers an average dominance of 1.40% across social media platforms. The upsurge in tweets has a positive impact on price but doesn’t have enough potential to change the market sentiments. From April 19, 2024, a noticeable rise in social tweets has been observed, which reflects the recent sentiments of users around the world. The social sentiment currently covers 0.95% dominance.
Technical Analysis of the Cardano (ADA/USD)
The short-term outlook lies below the key exponential moving averages on the bearish side. The 200-day EMA has become a dynamic resistance to the current crypto price.
ADA price is moving under a descending channel pattern. The price reflected an almost 50% decline from the $0.8113 resistance level. Afterwards, the price fell on the $0.3992 decisional point of interest (POI). The buyers are approaching the price from the $0.4456 demand zone, which can lead to the breakout of the descending channel.
The relative strength index (RSI) shows weak momentum in the current market price, reflecting a neutral perspective. The RSI line is moving at 42.21 above the SMA line.
Summary
The Cardano crypto price experienced strong bearish sentiments from March 14, 2024. The crypto has reflected an almost 50% decline since then. However, the price is getting some bullish reactions from the $0.4456 demand zone at the current phase. The buyers are slowly rising from that zone, which can lead to the breakout of the descending channel.
Technical Levels
The immediate short-term support level for ADA at the time of writing was $0.3992. Meanwhile, $0.5635 is the next resistance level. A rise in price can be expected if ADA is able to make past the upper resistance. Conversely, a drop below the aforementioned support level can lead to a price pullback to the lower support levels.
Disclaimer
The views and opinions stated by the author or any people named in this article are for informational purposes only. They do not establish financial, investment, or any other advice. Investing in or trading crypto or stock comes with a risk of financial loss.