Cardano Price Prediction: ADA Drops After Meeting Resistance
Daily Cardano ADA Technical Analysis
- Cardano price faces two resistance barriers.
- MACD shows sustained bearish market momentum.
Between June 4 and June 11, the Cardano price crashed from $1.85 to $1.43 and flipped the 20-day and 50-day SMAs from support to resistance. After that, ADA flashed a buy signal with a red-nine candlestick and jumped upto $1.57 till June 14 when it encountered resistance at the 20-day and 50-day SMAs.
Cardano Price Has Three Straight Bearish Sessions
Over the last three days, the sellers took control of the market and dropped the Cardano price to $1.45. The MACD shows sustained bearish market momentum so a further drop for ADA is expected. As things stand, ADA is dropping towards the $1.35 support wall.
Image: ADA/USD daily
As per the IOMAP, the Cardano price has crucial support at $1.35. Previously, at this level, almost 75,000 addresses had purchased over a billion ADA tokens.
Cardano Kickstarts Smart Contract Era
IOHK, the company behind Cardano, recently unveiled that Cardano (ADA) has reached a milestone that signals the beginning of Cardano’s smart contract era. The firm took to Twitter to say that it has successfully released the second iteration of Alonzo Blue to the testnet.
LET'S GO: We are happy to share that we have just released a brand new version of the #Cardano node, version, #AlonzoBlue 2.0 to the testnet. This is an important milestone – thanks and congrats to all the #AlonzoBlue team for the hard work to bring us here.
According to IOHK, the release comes with key updates that would serve as building blocks of Cardano’s smart contract development.
This release brings with it the important CLI (command line interface) upgrade, providing the foundations to build all varieties of smart contract applications further down the line. Smart transactions enable a user to associate transaction meta-data on-chain and store executable contract data. This opens up the smart contracts era on Cardano for our first SPOs (stake pool operators) and Pioneers to start sending and testing simple smart transactions to the ledger via the node.
The company also noted that Alonzo Blue SPOs have 24 hours to update their nodes before running their first test scrips. Alonzo Blue is the first of three development stages geared toward the launch of Cardano’s smart contract capabilities. The second stage is Alonzo White, followed by Alonzo Purple. IOHK has previously disclosed a 90-day roadmap that details the progression of Cardano’s much-awaited functionality.
It’s a 30-60-90-day plan. What this actually means is that you start off with Blue...We start off with the basic functionality, bring a few pioneers, few SPOs on and we start rolling then and there. We move on to [Alonzo] White where we now cast a little bit wider net and we bring in more partners.. The White rolls into Purple which is now fully public.
At this stage, we’re really ready to go… Once you get to the Purple stage, we are pretty much close to the hardfork combinator event within that 30-60-90-day window from start to Blue, ending with Purple.
Cardano Price Is Expected To Reach These Levels
Having broken below the $1.50 support wall, the Cardano price is falling towards the $1.35 wall. A further break will take ADA to the $1.23 line.