Cardano has faced price rejection around the $0.70 key resistance zone on its descending channel. Technical analysis hints at further downside if the bearish pressure persists.
Caradano has been flashing signs of strength in the past week as bulls hold strong in anticipation of ETFs’ approval. However, amid rising odds of ETF approval, Cardano bears could be taking charge as bulls get exhausted at the $0.70 zone. As of this writing, ADA has faced price rejection in this zone following a price uptrend in the past 48 hours.
Looking at the 3-day chart, Cardano has tested the $0.68-$0.71 resistance zone on its descending trendline. Following a price exhaustion, the bears are pulling back, changing the coin’s momentum. Technical indicators signal strong bearish momentum, as the MACD (12,26) and moving averages flash a “strong sell”.
With the Relative Strength Index at 43, Cardano is approaching the oversold zone and has potential for price reversal. However, according to crypto analyst Ali Martinez, if the bearish pressure persists, ADA could drop further to $0.63, eyeing the $0.54 support zone.
One should watch out for ADA’s fundamentals, buying volume, and technical indicators at this level for further insights.
