The V-top rejection from the $1.2 resistance plunged the Cardano(ADA) price below the $1 crucial support and 50-day SMA. The sellers continue to pressure the altcoin leading to the March bottom support at $0.78. However, a possible reversal from this support could initiate a range-bound rally in ADA.
The ADA price lost 22.5% within a fortnight
The ADA plunged below the 50-day SMA
The intraday trading volume in the ADA coin is $444.2 Billion, indicating a 30% loss
The ADA sellers regained trend control after achieving long wick formations in the daily candles near the $1.2, resulting in the 100-day SMA fallout. Amid the ongoing downfall, the ADA prices crossed under the $1 mark after saving immense selling pressure near $1.20.
The freefall accounts for a discount of 22.5% in the last 12 days and the fallout of the crucial psychological barrier at $1. Moreover, the prices recently cracked under the 50-day SMA as the selling pressure grew.
The downfall in ADA coin price undermines the V-Shaped reversal observed in late March and heads lower after retesting the 50-day SMA fallout.
The potential bearish rally could depreciate the altcoin by 16.5% to $0.85.
Alternatively, an early bullish reversal can push the price to $1.
Vortex indicator– The widespread gap between the VI+ and VI- slope indicates aggressive selling in the market.
SMA– The downsloping 100-and-200-day SMA reflects an overall bear trendline, whereas the flattish 50-day SMA accentuates a short-range bound rally. However, the ADA price trading below these EMAs lines suggests the path to least resistance is downward.
Resistance levels- $1, and $1.1
Support levels-$0.85 and $0.78
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