Cardano Price Prediction: ADA On The Verge Of Flashing Sell Signal In The TD Detector
Daily Cardano ADA Technical Analysis
- Cardano price upside blocked by 50-day SMA.
- MACD indicates increasing bullish momentum.
The upside for the Cardano price has been blocked by the 50-day SMA, which has prevented it from crossing the $1.30 psychological level. Previously, Cardano dropped from $1.45 to $1.05 between July 5 and July 20, flipping the 20-day and 200-day SMAs from support to resistance.
Cardano Price Blocked By 50-day SMA
The Cardano price had 7 bullish sessions between July 21 and July 27, wherein it jumped from $1.05 to $1.29. Due to this jump, ADA managed to:
- Flip the 20-day and 200-day SMAs from resistance to support.
- Reverse the MACD from red to green.
However, the bears have edged out an advantage this Thursday and pushed down ADA to $1.28 after failing to take over the 50-day SMA. Cardano is also on the verge of flashing a sell signal in the form of a green-nine candlestick in the TD sequential detector
Image: ADA/USD daily
As mentioned, the Cardano price faces resistance at the 50-day SMA ($1.33). Previously, at this level, around 181,000 addresses had purchased nearly 2.6 billion ADA tokens.
MSN Money: Cardano Is A Strong YTD Performer
MSN Money recently posted an article on Cardano, saying investors should hold ADA. This statement was based on Cardano’s YTD performance and its price resilience during the recent downturn.
Cardano's Project Catalyst refers to the in-house mechanism that turns ideas into real-world projects by supporting development, including funding. Ideas are pitched for the community to vote on. The current fifth funding round has hundreds of proposals vying for a share of the $2.1 million pool.
MSN Money pointed out that long-term Cardano holders have had “great returns” so far this year. That is despite the setback of recent months, which saw the total crypto market cap halve from its May peak. Taking this into account, ADA is still up over 600% versus its price at the start of the year.
“Long-term holders of Cardano (CCC:ADA-USD) have seen great returns in the first half of 2021. Despite the rapid-sell off in most digital assets in the past few weeks, year-to-date, ADA-USD is up over 610%. Put another way, the proverbial $1,000 invested in the crypto would now be worth around $7,100.”
For comparison, MSN Money pointed out that Bitcoin and Ethereum are up 12% and 168%, respectively. And for a more comprehensive picture, Apple and Paypal are up 11% and 31%, respectively.
Trader, Tezcan Gecgil, who authored the piece, said “alternative investments” such as ADA can form part of a balanced portfolio.
“To be sure, 2021 has shown that alternative investments such as cryptos can enhance returns of traditional stock portfolios. As digital currencies and especially the blockchain technology become more utilized, I expect the growth tokens like ADA to continue."
Cardano Price Is Expected To Reach These Levels
If the buyers push the Cardano price above the 50-day SMA, ADA should reach the $1.40 psychological level. The next strong obstacle is the $1.45 barrier.