Cardano Price Prediction: ADA Unable To Push Beyond 20-Day SMA On Tuesday 

Daily Cardano ADA Technical Analysis

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Last Updated January 6th 2022
5 Min Read
  • The Cardano price has pushed up by over 2% during the ongoing session as it looks to move past the 20-day SMA. 
  • ADA has been quite bearish during the week, having registered a drop of over 4% on Monday. 

The Cardano price has started today’s session with an increase of over 2%, as buyers look to push ADA above the 20-day SMA. ADA had dropped by nearly 4% on Friday, falling to $1.30. However, the price recovered on Saturday, rising by over 5%, moving above the 20-day SMA and settling at $1.37. On Sunday, the price fell back, registering a marginal drop, before falling over 4% on Monday, slipping below the 20-day SMA and settling at $1.32. The price continued to drop on Tuesday, falling to $1.30, before recovering during the ongoing session. 

Cardano Price Chart Indicates Buyers Looking To Push ADA To $1.35 

The Cardano price started the previous week by registering an increase of over 4% on Monday. However, the price fell back on Tuesday, dropping by nearly 8% and settling at $1.39. The bearish sentiment continued on Wednesday, with ADA falling by 4.86% and settling at $1.33, where the 20-day SMA acted as support. ADA recovered on Thursday, registering an increase of 2.03%, but fell back on Friday, slipping below the 20-day SMA and settling at $1.30.

Image: ADA/USD daily  

ADA/USD daily chart 010622

The Cardano price made a strong recovery over the weekend, as it rose by over 5%, pushing back above the 20-day SMA and settling at $1.37. However, the price was back in the red on Sunday, registering a marginal drop. The price registered a significant drop on Monday, as the price slipped below the 20-day SMA, dropping to $1.32. ADA continued to drop on Tuesday, falling by 0.83%, before recovering during the current session.

We can see that the Parabolic SAR is currently bullish, indicating that ADA could push higher.

Looking at IntoTheBlock’s IOMAP for the Cardano price, we see that ADA faces strong resistance at around $1.35. At this price level, over 326,000 addresses have sold more than 4.3 billion ADA.

Image: IntoTheBlock

ADA/USD volume chart 010622

The 4-hour Cardano price chart shows us that ADA had dropped by over 5% on the 31st, falling to $1.28. The price made a strong recovery from this level and pushed above the 20-bar SMA on the 1st, rising to $1.34. ADA continued to push up from this level, rising to $1.37, where the 200-bar SMA was acting as resistance. As a result, ADA fell back to $1.35, but with the 20-bar SMA acting as support, ADA could be at this level until the 3rd, when LINK slipped below the 20-bar SMA on the 3rd dropping to $1.31. LINK then rose to $1.34 before falling to $1.30 and then moving to its current level of $1.34.

We can see that the MACD is currently bullish, but if ADA is unable to move past the 20 and 200-bar SMAs, we could see the price drop, and the MACD could flip to bearish.

Image: ADA/USD 4-hour 

ADA/USD 4-hour chart 010622

Cardano Doesn’t Need VCs – Hoskinson

IOHK chief Charles Hoskinson recently took to Twitter to express optimism regarding the current Cardano treasury. He noted that the project doesn’t need venture investment.

“Where we are going, we don’t need VCs because we have already built one of the largest.”

Notably, Cardano also won the crown of the most actively developed cryptocurrency in 2021. In a ranking by Santiment, Cardano was the most developed project on GitHub, which scaled over 140,000 events. As per Hoskinson’s recent update, there are over 127 projects that “intend to or are actively building on Cardano.” 

In a live Youtube session last week, he had curiously called the next 90 days “a very busy time,” with new developments executing on the chain. On the back of which, he expects the number of ADA users to grow tenfold from the existing 2 million.

It is also noteworthy that Cardano recently made its debut on DeFillama.

DEXs on Cardano is something that might populate the chain, as per the CEO’s previous video, where he had stated:

“[DEXs] They are already on the testnet. There are already some on the mainnet, and there’s just a lot of competition there.”

It’s has been around four months since Cardano’s anticipated Alonzo hardfork deployed smart contracts on the platform. There was significant traction among developers and users on Cardano since then. Still, the platform has received heavy criticism from the community too. 

Samsung And Cardano?

Tech giant Samsung will now have exposure to Cardano via its recent partnership with blockchain planting management system Veritree. Cardano Foundation's Sidney Vollmer took to Twitter to share the news.  

"Wow! @Samsung 's land restoration efforts – 2 million trees to be planted this quarter, done by our great friends at @veritree, will live on our blockchain! Meaning: Samsung will now get exposure to #cardano."

The American subsidiary of the South Korean behemoth aims to tackle climate change by planting two million mangrove trees in Madagascar, an island country located in East Africa.

Mangrove forests are estimated to store more than ten times more carbon dioxide than other tropical forests. The partnership was announced during the annual Consumer Electronics Show (CES) held in Las Vegas.

Mark Newton, head of corporate sustainability at Samsung Electronics America, said in a statement that investing in innovative technologies was “vital” in fighting climate change:

"Investing in tech innovations, such as those that create efficiency improvements and minimize waste, in combination with nature-based solutions, are vital in the fight against climate change."

Veritree’s reforestation verification records will be stored on the Cardano blockchain. Last year, the Cardano Foundation launched the first Initial Tree Offering (ITO) together with Veritree. Users can donate 1 ADA token to receive 1 Tree Token representing one tree.  

Users who donate at least 500 ADA will receive digital planting certificates as well as “NFTree Art.” “Highballers” who fork out 100,000 ADA tokens will be able to get “globally unique” NFTree art as well as their name on the map.  

Tree planting sessions are scheduled to continue to the end of 2022, according to a roadmap presented by Veritree.

Cardano Price Is Expected To Reach These Levels 

The Cardano price chart shows that ADA has registered a significant recovery during the current session. If the current sentiment persists, we could see ADA move past $1.35 if buyers are able to retain the current session.