Cardano (ADA) in Crucial Demand Zone
Currently, Cardano (ADA) is within a crucial demand zone that could lead to new highs or corrective moves. The $0.37 price level is serving as a major support point for ADA, indicating its short-term trajectory.
The TD Sequential indicator also signals caution.
Minimal Resistance for Cardano (ADA)
Analysis by crypto analyst Ali Martinez shows that ADA is in a demand zone between $0.37 and $0.38, with minimal resistance ahead for potential new yearly highs. Martinez advises caution, as a drop below $0.37 could trigger a brief correction to $0.34.
“With minimal resistance ahead and solid support below, remaining above this zone could pave the way for $ADA to climb to new yearly highs. Still, watch out, as losing this support level could trigger a brief correction to $0.34.”
The TD Sequential indicator presents a sell signal on ADA’s weekly chart, suggesting a potential shift in market dynamics if the $0.37 support level is lost.
Martinez notes that ADA needs to close above $0.40 to reach the next target, potentially pushing toward $0.46. He also sees similarities to a consolidation pattern from 2018 to 2020, and forecasts a possible climb to $0.75 by the end of December.
Developer Activity and On-Chain Metrics
Cardano encountered challenges from regulatory uncertainties and competition in the second half of 2023 but saw an uptick in developer activity and positive on-chain metrics. The network’s developer activity saw a surge in October, and on-chain metrics indicate an optimistic outlook, with a record number of addresses holding a balance on Cardano nearing 4.46 million and consistent transaction counts and volumes.
### News source: cryptopotato.com