Cardano Price Analysis: ADA Plunges Below $1, Is the Bullish Move Over?

Following the bearish sentiment in the crypto markets, ADA had broken below the $1 key psychological level.

Key Support levels: $0.91, $0.78 

Key Resistance levels: $1, $ 1.2 

Cardano had a difficult time since setting a local top at $1.2, with the price persisting on a decline in a free fall over the past days.

Today, ADA’s price broke below the $1 mark, a psychological level that failed to act as support (daily candle yet to close below – watch out). Looking ahead, the next key support levels for ADA will be found at $0.91 and $0.78.

Chart by TradingView

Technical Indicators

Trading Volume: Increasing volume while the price drops is a very bearish signal. Buyers have disappeared from the market.

RSI: The daily RSI has plenty of room to drop lower as it has not reached the oversold area yet (below 30 points). This indicator has also made lower highs and lower lows, placing the trend firmly on the bearish side.

MACD: The daily MACD is bearish and crossed to the negative side last week, giving plenty of red flags before the downturn started. The histogram remains bearish and continues to make lower lows.

Chart by TradingView

Bias

The bias for ADA is bearish.

Short-Term Prediction for ADA Price

ADA does not seem able to stop the selling pressure, in correspondence with the overall bearish sentiment. Expect to see its price quickly reach the key support at $0.91, but that is unlikely to stop bears if they continue with the current momentum. A more likely candidate to stop this downtrend is the support at $0.78.