Cardano (ADA) is in a sideways consolidation, defending the $1 level. Despite the flat price, Cardano millionaire addresses are aggressively acquiring, as Coinpedia has reported. In January, ADA whales increased their stakes by 40%.
ADA Short-Term Price Action
Cardano is now trading at $1.04. The key supports of $0.92 — $1.03 are projected to hold, keeping the ADA bulls intact. Currently, (ADA) is exhibiting indications of stability, but the ADA’s outlook remains bleak.
Investors might discover some attractive purchasing opportunities around the $1.02 demand zone. However, the price failed to break over the $1.061 horizontal barrier.
If the price goes below $1.00 and closes lower, it opens the door for Cardano to plummet to considerably lower levels in the immediate term. On the plus side, a significant break over $1.25 might spark a tremendous rally to $1.6.
The Daily Relative Strength Index (RSI) momentum oscillator is nearing oversold territory, indicating a likely bearish crossing. This demonstrates investors’ dissatisfaction with the bull market.
Cardano Price Poised for Massive Fall?
As the price of ADA approaches $1, a well-known crypto trader has issued a warning to Cardano investors. According to Capo, a fictitious merchant,
The cryptocurrency is now in the middle of a neat triangle formation, indicating bearish price action in the next days.
Despite the fact that several cryptocurrencies outperformed Bitcoin during the last market downturn, Capo believes the altcoin market as a whole is weaker than Bitcoin.
He also stated on Twitter that cryptocurrencies look to be worse than Bitcoin. With Bitcoin dominance forming a triple bottom and altcoins chart attempting to retest the range low, he wouldn’t be surprised if altcoins lost 50% in the following few days.