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Cardano Dips to $0.29: A Bearish Outlook for ADA/USD

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Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
By Arslan Ali Butt
author
Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
on November 01, 2023 | 2 min
Updated on Nov 01, 2023
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  • ADA/USD is currently trading at $0.293956, down 3.27% in the last 24 hours, with a market cap of approximately $10.36 billion.
  • Technical indicators such as RSI at 40 and a bearish MACD trend suggest bearish sentiment, with the price hovering above the 50 EMA at $0.2660.
  • Chart patterns and technical analysis indicate a bearish outlook for ADA, with potential to test immediate support at $0.2530 in the short term.

 

In a tumultuous week for financial markets, Cardano (ADA) has not been immune to the broader economic headwinds. As of November 1st, ADA/USD is trading at $0.293956, marking a 3.27% decline over the past 24 hours. Currently ranked #8 on CoinMarketCap, Cardano holds a market capitalization of approximately $10.36 billion, with a circulating supply nearing 35.25 billion ADA coins out of a maximum of 45 billion.

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ADA/USD Price Chart
ADA/USD Price Chart – Source: Tradingview

Cardano Price Prediction: Technical Outlook

The four-hour chart presents a grim picture for ADA/USD, as it hovers around a pivot point of $0.2790. The immediate resistance is found at $0.3190, with subsequent barriers at $0.3450 and $0.3850. On the downside, immediate support lies at $0.2530, followed by stronger support levels at $0.2130 and $0.1870.

 

Technical indicators paint a mixed sentiment for Cardano. The Relative Strength Index (RSI) sits at 40, indicating neither overbought nor oversold conditions but leaning towards bearish sentiment. The Moving Average Convergence Divergence (MACD) suggests a bearish trend without disclosing specific values, hinting at potential downward momentum for ADA.

 

The 50-Day Exponential Moving Average (EMA) currently stands at $0.2660, with ADA’s price fluctuating above this level, indicating a short-term bullish trend. However, chart patterns reveal bearish engulfing candles and resistance at the 50% Fibonacci level, suggesting a weakening bullish trend and limited upside movement.

 

The economic events of the past week have added to the bearish sentiment. The ADP Non-Farm Employment Change reported only 149K jobs added, missing the 89K forecast. Furthermore, the ISM Manufacturing PMI remained stagnant at 49.0, while the JOLTS Job Openings decreased to 9.34M from 9.61M. The ISM Manufacturing Prices also dropped to 46.2, below the expected 43.8. These indicators, along with the Federal Reserve’s decision to hold the Federal Funds Rate at 5.50%, have contributed to a cautious sentiment across financial markets.

 

Considering these factors, the overall trend for ADA/USD appears bearish below the $0.293 mark. The technical outlook, coupled with the recent economic data, suggests that ADA may continue to face downward pressure in the short term, potentially testing the immediate support at $0.2530. Investors and traders should remain vigilant, as the interplay between market technicals and economic indicators signal a period of uncertainty and potential decline for Cardano.

Stay tuned for more updates!

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About Arslan Ali Butt
Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
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