The Cardano price dropped 3% in the last 24 hours to trade at $0.7715 as of 02:45 a.m. EST on a 17% pump in trading volume to $1.3 billion.
This retracement in the ADA price comes as Charles Hoskinson hinted that the Cardano ecosystem might collaborate with Microsoft just a day after a filing for an ADA ETF (exchange-traded fund) by Grayscale.
But what does it mean for the price of ADA?
Cardano Price Currently On A Bearish Trend
The ADA price action on the 3-day chart shows a clear downtrend following a significant rally. The chart exhibits a rounded top pattern, a classic reversal signal indicating that bullish momentum has exhausted and sellers are taking control.
ADA has broken below the 50-period Simple Moving Average (SMA) on the 3-day chart and is approaching the 200-period SMA, which often serves as a key support level.
A Fair Value Gap (FVG) is marked on the chart in the $0.32–$0.46 range, suggesting that the Cardano price may revisit this zone before attempting any potential recovery.
The Relative Strength Index (RSI) sits at 45.09, indicating that ADA is in a neutral zone but leaning toward a bearish sentiment. If the RSI drops below 40, it could signal an oversold condition, potentially leading to a short-term relief bounce.
Meanwhile, the Moving Average Convergence Divergence (MACD) histogram is in negative territory, with the MACD line below the signal line, confirming a bearish crossover. This suggests that downward momentum is still strong, and there is no sign of a bullish reversal yet.
Cardano Price Chart Analysis. Source: GeckoTerminal ADA Price Prediction
Given the current market structure and technical indicators, ADA is likely to continue its decline towards the $0.32–$0.46 range, where a significant support zone exists.
The 200-period SMA at $0.4994 may provide temporary relief, but if selling pressure persists, a further drop into the FVG region is possible.
For a bullish recovery, the Cardano token price would need to reclaim the 50-period SMA at $0.7361 and establish a higher low. In this scenario, the bulls could push the price of Cardano to the $1.15 resistance level.
Meanwhile, investors are buying a new Solana meme coin called Solaxy (SOLX) , which popular YouTube channel 99Bitcoins, with over 724K subscribers, says has the potential to soar 100X post-launch.
Solaxy Presale Closing On The $20 Million Milestone
Solana is best known for its high-speed and low-cost transactions, which has led to a massive meme coin frenzy over the past few years.
Despite such traction, Solana has often experienced network outages and transaction failures, the latest being during the TRUMP and MELANIA coin launches last month. These issues are a major headache for DeFi users, NFT enthusiasts, and meme coin traders.
Solaxy aims to solve these pain points by processing some transactions off the main chain. It then batch-submits transaction data back to Solana’s layer-1, preventing network bottlenecks during peak times.
Solaxy is the first layer-2 solution on Solana, and its ongoing presale just crossed $19.9 million.
Moreover, once launched, Solaxy will provide a platform where developers can build decentralized applications or launch new tokens without compromising (and possibly even improving) Solana’s layer-1 capabilities.
Solaxy also offers holders who stake the project’s SOLX token a huge annual yield of 204%.
Investors interested in participating in the presale can visit the official Solaxy website to buy SOLX tokens for $0.001632 each using BNB, ETH, USDT, or a bank card.
Buy SOLX here before a price hike in 18 hours to secure the best deal .
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