- Summary:
- Cardano price has traded around the psychological $1.00 mark for the second successive day and key metrics call for further gains.
Cardano price retested the $1 mark on Friday as the broader cryptocurrency market stayed on the upside for the second successive day. The coin traded at $1.00 at the time of writing, with its daily gains at 1.7%. A return to the psychological mark has created a strong sentiment that will likely help the coin stay on the upside.
ADA coin registered $1.21 billion worth of trading volume in the last 24 hours, equivalent to a 28% rise. That adds weight to the bullish-leaning view of the coin’s trajectory. The coin is also subject to potential ETF approval and that could add strength to its upside momentum in the coming weeks.
However, Cardano bulls will need to breach the $1.01 resistance, which corresponds to the coin’s Volume Weighted Moving Average (VWMA) on the daily chart, and flip it into a support level. However, the bullish outlook could be invalidated if Cardano price breaks below the $0.900, at the neckline of its double-top pattern.
Cardano chain also recorded progress in its DeFi ecosystem, where its Total Volume Locked (TVL) grew by 3.25% in the last seven days. Cardano has arguably been an underachiever in the DeFi space relative to peers like Ethereum and Solana. However rising DeFi performance creates more utility, which augurs well for Cardano price. Also, Cardano’s Daily Active Addresses have been relatively strong in the last week, ranging between 33,227 and 50,828.
Cardano Price Prediction
Cardano price pivots at $0.986 and the upside will prevail if the buyers keep the action above that level. That will likely see the coin move higher to encounter the first resistance at $1.013. A stronger momentum will break above that level and could encounter the first resistance at $1.030.
On the downside, ADAUSD will swing to the downside if it breaks below $0.986. That will likely establish the first support at $0.970. Breaking below that level will invalidate the upside narrative. Meanwhile, the resulting momentum could break below that level and potentially test $0.950.
