Cardano Technical Analysis: ADA Drops After Meeting Resistance At $2.15
Daily Cardano ADA Price Analysis
- Cardano price still trending above $2 psychological level.
- MACD shows sustained bullish market momentum.
The Cardano price jumped from $1.09 to $2.20 between April 26 and May 16 – gaining almost $1.11 in its overall valuation. During this jump, ADA managed to flip the 20-day and 50-day SMAs from resistance to support. However, on May 17, ADA dropped to $2.02 before recovering.
Cardano Price On The Verge Of Getting Overbought
Looking at the Cardano price chart, we can see that ADA has improved to $2.06. The RSI was in the overbought zone and has dropped back into the neutral territory. The MACD shows sustained bullish market momentum.
Image: ADA/USD daily
Cardano price has a strong resistance barrier at $2.15. Previously, at this level, nearly ~60,000 addresses had purchased ~1.65 billion ADA tokens.
Charles Hoskinson: Cardano Targeting Billions, Not Millions of Users
Charles Hoskinson, Cardano founder, and IOHK CEO, recently said that Cardano is being built to service billions, not millions of users. In a new video, the Cardano creator mentioned that the motivation behind the development of ADA is based on two key questions. He said:
The point of Cardano is to ask, "Where do we need to go? What do we need to do to have an ecosystem with a billion people, not an ecosystem with a million, and be able to sustainably provide a financial operating system for that?"
With Cardano aiming to serve a prominent part of the global population, Hoskinson unveiled the reasons why they chose to redesign the smart contract model from the ground up.
One, because it’s not secure and you can see that with the billions of dollars of customer funds that have been lost because of unsecured hacked apps. Two, it’s not sustainable: cost predictability, high gas fees that applications have.
Hoskinson also highlighted that Cardano’s smart contract model would allow millions of global developers to participate in the ecosystem. As for IOHK’s recent entry in Africa, Hoskinson said that their project in the continent is just getting started.
Ethiopia took us over four years to negotiate, during a civil war. And despite that, and despite it being listed in the bottom 5% of countries of ease of doing business, we were able to close a deal for five million people that’s going to grow to over 20 million people, which is one of the largest if not the largest single deals in our industry.
Cardano Price Is Expected To Reach These Levels
The Cardano price could potentially jump to the $2.15 resistance barrier and aim to take down $2.25 once again.