Cardano Price Analysis: ADA Faces Bearish Correction Even As Mary Update Gets Integrated

Last Updated July 23rd 2021
3 Min Read

Daily Cardano ADA Price Forecast
  • Cardano price jumped from $0.958 to $1.31 between February 24 to February 28.
  • ADA in the 4-hour chart had failed at the 20-bar SMA and falled down.

Over the last 48 hours, the Cardano price has dropped from $1.32 to $1.21. Prior to that, the price had risen from $0.958 to $1.31 between February 24 to February 28. However, the main news of the day is that Cardano has officially integrated the Mary update. IOHK, the company behind Cardano development, tweeted the following:

MISSION ACCOMPLISHED!: We can confirm that the #Cardano ‘Mary’ protocol update was successfully applied to the #Cardano mainnet tonight at 21:44:51 UTC via a managed hard fork combinator event. Welcome to the beginning of an exciting new multi-asset era on #Cardano $ADA

The main milestones in the update is the integration of native token functionality and multi-asset support.

A key milestone in its ongoing rollout, this update introduces core #Goguen features of native token functionality & multi-asset support. An important building block & the foundations for exciting new use cases for #Cardano

Let’s take a closer look with technical analysis.

Cardano Price Faces Heavy Correction

The recent bearish correction had dipped the relative strength index (RSI) from the overbought zone to the neutral area. The parabolic SAR shows us that the current market sentiment of Cardano price is still positive.

ada/usd daily chart 030221

Image: ADA/USD daily

On the downside, Cardano price has some healthy support levels at $1.15 and $1.10. The former has had 33,000 addresses purchasing 784 million ADA tokens.

ada/usd volume chart 030221

Image: IntoTheBlock

The 4-hour Cardano price chart shows increasing bearish momentum in its MACD. Plus, the 20-bar has forced ADA to drop down and flip the $1.25 level from support to resistance.

ada/usd 4-hour chart 030221

Image: ADA/USD 4-hour

$250M Fund Launched In India To Invest In Polkadot and Cardano 

FD7 Ventures, a popular cryptocurrency-oriented fund, has set up a $250 million micro-fund focusing on the Polkadot (DOT) and Cardano (ADA) ecosystems. FD7 is a crypto investment fund with over $1 billion in assets under management (AUM). The firm had earlier announced its plans to dispose of $750 million of its Bitcoin holdings and allocate that amount into ADA and DOT. The company’s Managing Director had blasted the BTC and highlighted the potential for Cardano and Polkadot to further rise in popularity and adoption. 

According to a recent press release, FD7 Ventures had doubled-down on its belief in the two projects. The release also reads that the firm has opened an office in Bangalore, India, with the principal focus of offering financial assistance to Polkadot and Cardano. 

To do this, FD7 has established a micro-fund targeting $250 million to invest in teams working on the two projects. The release described this move as part of the overall “strategic road map to build its presence in Bangalore” and further reaffirm its support for Polkadot and Cardano. 

Prakash Chand, the Global Managing Director of FD7 Ventures, said: 

Positioning our new location where we have in Bangalore gives us a home-field advantage to tap into some of the world’s best future talent in blockchain and cryptocurrency development.

The new venture is set to invest $1-5 million across 50 companies yearly, with about “thirty percent of those Polkadot and Cardano ecosystem-based companies receiving secondary investments of $5-20 million.”

Cardano Price Is Expected To Reach These Levels

The Cardano price is likely going to drop to the $1.15 support barrier.