Cardano Technical Analysis: ADA Faces Crucial Resistance At 50-day SMA
Daily Cardano ADA Price Analysis
- Cardano price blocked on the upside by the 20-day SMA.
- MACD has reversed from bearish to bullish.
The Cardano price crashed from $1.84 to $1.15 between June 4 to June 22 – losing almost $0.70 in its overall valuation. During this drop, ADA flipped the 20-day and 50-day SMAs from support to resistance. Let’s see what happened next.
Cardano Price Faces Immediate Resistance At 20-day SMA
The Cardano price jumped from $1.15 to $1.36 on June 23 and June 24. Since then, it has been somewhat trending horizontally around $1.35. The MACD shows that the market momentum has flipped from bearish to bullish. However, immediate resistance at the 20-day SMA has prevented this upward surge for now.
Image: ADA/USD daily
As per the IOMAP, the Cardano price faces crucial resistance at $1.45. Previously, at this level, over 75,000 addresses had purchased nearly 970 million ADA tokens.
Cardano Now Has 650K Staking Addresses
Over a span of three weeks, Cardano has added more than 50,000 new staking addresses. This marks an increase of more than 8% since the beginning of June, when ADA reported its last milestone, surpassing 600,000 staking addresses. According to reports, this recent influx has brought the current total of ADA staking addresses to over 662,000. Data also recorded that the staked funds totaled $29 billion (71% of the total supply).
Cardano creator Charles Hoskinson recently commented on the possibility of El Salvador adopting ADA in some way. The country made history earlier as it became the first nation to officially adopt a cryptocurrency (Bitcoin) as legal tender.
Hoskinson revealed details in a recent live broadcast on YouTube regarding potential adoption in El Salvador. More specifically, he said that his team was in talks with authorities in the country.
A regular video update from IOHK, Cardano’s co-developers, revealed that Alonzo can now run smart contracts. Delivery Lead Dimitris Poulopoulos explained the contracts were very simple at this stage.
“A transaction that passes back a ‘Hello, world,’ or a confirmation of a payment that has been made."
This development comes as part of the Alonzo Blue phase – the first on Alonzo’s rollout roadmap. Around the same time, Cardano also revealed they had started researching the viability of “stablefees.”
Cardano Price Is Expected To Reach These Levels
The Cardano price has to break past the 20-day SMA and reach the $1.45 resistance. If the bulls somehow manage to break past the 50-day SMA they will reverse the parabolic SAR from negative to positive.