The Cardano (ADA) prices remain muted, consolidating, and within a tight range. Although buyers are in position, at least looking at the candlestick arrangement in the daily chart, there must be sustained gains above July highs. Currently, primary resistance is around the $0.37 and $0.40 zone, marking July and May 2023 highs.
However, supporters can look at how price action pans out in the short term. Primary support is at $0.30. Moreover, the bull bar of July 13 defines the short-term trend.
Therefore, as long prices hold above the $0.30 and July 13 lows, the path of least resistance is northwards.
From a fundamental perspective, Cardano remains firm. The network is sufficiently decentralized with over 2,900 stake pool operators (SPOs), making it the most decentralized proof-of-stake (PoS) blockchain.
At the same time, the progress in Basho means developers continue to build performance and security-enhancing releases. The Vasil hard fork tuned the network making it more performant.
Recently, IOG, the lead developer of Cardano, said they plan to release Mithril to the mainnet. The upgrade will improve the blockchain’s security, making it more robust and suitable for developing decentralized finance (DeFi) and non-fungible token (NFT) projects.
Going forward, how Cardano continues to build into Voltaire would likely boost ADA prices. It is especially so considering the United States Securities and Exchange Commission’s classification of ADA as alleged security.
Cardano (ADA) Price Analysis
ADA prices are inside a tight consolidation when writing on July 24.
Even though buyers have a chance from an effort-versus-result perspective, there must be sharp expansions above $0.37 for a trend continuation.
Notably, the July 13 bar, which had high trading volumes, shapes the short-term. For now, the recent bars of lower lows had relatively low participation levels. As long as prices are above $0.28 and $0.30 support levels, aggressive traders can load the dips, targeting $0.38 and $0.40.
Per the ADA candlestick arrangement in the short-term, the primary buy trigger line marking the upper limit of the current consolidation is around $0.33.
Day traders can monitor this line because a high-volume breakout could initiate a rally, pushing prices toward July 2023 highs.
Conversely, any drop below $0.28, reversing July 13 gains, effectively nullifies this preview.
Technical charts courtesy of Trading View.
Disclaimer: The opinions expressed do not constitute investment advice. If you wish to make a purchase or investment we recommend that you always conduct your research.
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