Cardano Price Falls Nearly 10%, Can ADA Recover to $1 Soon?
Can AI integration save Cardano’s future?
Cardano (ADA) has dropped nearly 7% to around $0.60 on Friday, marking a 23% weekly decline. On-chain data and technical indicators suggest further downside, though historical trends hint at a potential recovery.
Cardano’s Price Decline: Key Factors
Rejection at Trendline: ADA was rejected at a key descending trendline on February 21, triggering a 15% drop.
Break Below Support: The price fell below its crucial $0.74 weekly support and continues its downward momentum.
Potential Further Decline: If selling pressure continues, ADA could fall another 16% to test its February 3 low of $0.50.
RSI Signals Oversold Conditions: The daily Relative Strength Index (RSI) is at 28, indicating strong selling pressure. While this suggests a possible reversal, RSI can remain oversold in bearish trends.
Read ADA Price Prediction 2025, 2026 - 2030 for more details
On-Chain Data Shows Weak Demand
Declining Daily Active Addresses: Santiment data shows ADA’s active addresses have dropped from 49,585 in early February to 24,609.
Network Activity Weakness: Lower blockchain usage suggests reduced demand, which may continue to pressure prices.
Could ADA Rebound?
Historical RSI Patterns: Analyst Dan Gambardello notes similar RSI levels in 2020 and 2021 led to strong rallies.
Moving Averages Indicate Bullish Potential: If ADA holds above $0.70, a moving average crossover could signal upward momentum.
Resistance Levels to Watch: ADA must surpass $0.80 and $0.83 for a breakout towards $1.
Also Read: Immutable Price Prediction 2025, 2026 - 2030: Is IMX A Good Investment?
AI and Blockchain: EMURGO’s Insights
AI Improves Productivity: Businesses use AI to automate tasks and optimize workflows.
Concerns Over AI Adoption: Risks include job displacement, bias, security, and overreliance.
AI and Blockchain Integration: EMURGO sees AI agents playing a role in blockchain technology, enhancing efficiency and innovation.
The crypto market remains volatile—will ADA recover, or is more downside ahead?