Cardano (ADA) price may have reached an all-time high.
Friday morning saw some activity in some previously dormant Cardano (ADA) coins. This indicates increased trading activity on the coin's daily active addresses.
However, ADA's muted price reaction over the past 24 hours suggests that the coin's movement may not be for bullish purposes.
ADA Tokens in motion
Sentiment data showed ADA consumption rose to a seven-day high of 6.33 billion on Friday morning. This measure tracks the movement of long-held coins; So, when it swings, it is interesting. This is because long-term holders move their coins around. When they do, it usually precedes changing market trends.
ADA has increased in age. According to Santiment data, the number of addresses involved in ADA transactions totaled 54,200, the highest one-day total since March 6.
Read more: Cardano (ADA) Price Prediction 2024/2025/2030
While the increase in the property's active address count is indicative of bullishness, the decline in ADA rates after the age-dated rally suggests the area may be at its peak. This suggests that the coin may be poised for further declines.
Cardano Price Prediction: More Discount
The reading from Cardano's one-day chart shows that the altcoin may extend its decline. For example, the coin's Parabolic Stop and Reversal (SAR) indicator, which highlights potential trend direction and reversal points, is placed above the price. With these points aligned, the market trend is weak, and the price decline is set to continue.
Additionally, the setup of the Coin Moving Average Divergence (MACD) indicator shows the MACD line (blue) below the signal (orange) and zero lines. This shows that the value of ADA has increased downwards.
Traders often interpret this as a sell signal, which puts negative pressure on asset prices. If the downtrend continues, the ADA price will revisit the August 5 low of $0.27.
Read more: How to buy Cardano (ADA) and everything you need to know
However, reinstating the ADA's demand invalidates the bearish assumptions above. If ADA sees a rally in buying activity, this could push the price above resistance at $0.39. Crossing this level could rise to $0.48.
Disclaimer
In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
