05 Jan 2023 · 3 min read

Cardano Price Prediction as $200 Million Trading Volume Comes In – Where is ADA Headed Now?

ADA/USD daily chart

Cardano has seen a recent increase in price after starting the year with declines below $0.30 and reaching a low of $0.24. As of now, it is trading at $0.2645 after a retracement, with a 24-hour trading volume of over $200 million and a market capitalization of $9.3 billion. 

If the recovery continues and ADA surpasses $0.30, Cardano could potentially surpass Dogecoin and become the eighth-largest cryptocurrency by market cap.

Cardano Price Deals with a Temporary Retracement as $0.30 Beckons

Traders who bought ADA as it bounced off support at $0.24 are booking profits and adding pressure on resistance at $0.27. Nevertheless, pullbacks are normal even as the price moves to the upside.

Investors could see the retracement as an opportunity to buy more ADA at a lower price level ahead of another 11.7% move due to the formation of an inverted head-and-shoulders (H & S) pattern.

ADA/USD daily chart
ADA/USD four-hour chart

An inverted H&S pattern is bullish, and its appearance suggests the trend is about to change its course to the upside. A break above the neckline resistance reinforces the pattern's validity. In the case of Cardano, the price has already validated the H&S for an 11.7% move to $0.29.

Cardano's price is currently experiencing a retracement after reaching a weekly high of $0.27. However, bullish traders are hoping for a rebound from the 100-day EMA at $0.26. 

Traders looking for long positions in Cardano may consider booking profits at the 200-day EMA (in purple) and $0.29, respectively. However, more cautious investors may wait until ADA tags $0.30 and hopefully $0.33.

Insight from the Moving Average Convergence Divergence (MACD) indicator shows the uptrend in Cardano price is still intact despite the minor correction from its weekly high. 

ADA's recovery is bound to carry on as the MACD crosses into the positive region.

ADA/USD daily chart
ADA/USD daily chart

Some investors, especially with wallets holding between 10,000 and 100,000 tokens, seem unbothered by predictions of a longer crypto winter. 

According to on-chain data from Santiment, this address tier has grown to hold 11.66% of Cardano's supply compared to 10.48% roughly six months ago.

Spikes in the Supply Distribution metric point to improving investor sentiment. In other words, they see Cardano's price significantly increasing in value in the coming weeks, perhaps months. An uptick in demand for ADA often contributes to the bullish force propelling the price.

Cardano Supply Distribution
Cardano Supply Distribution

Altcoins to Consider in 2023

With the broader cryptocurrency markets having performed poorly in recent weeks, investors may be looking to diversify their holdings with the pre-sale tokens of promising, up-and-coming cryptocurrency projects.

Fight Out (FGHT)

Fight Out (FGHT) is an Ethereum-based move-to-earn platform that merges real-life workouts with Web3. Aiming to evolve beyond earlier M2E platforms such as STEPN, it will track and reward a much wider range of workouts, including boxing, weightlifting and yoga, while also offering in-app and IRL courses at its own branded gyms.

Launched last month, its token sale has already raised over $2.6 million, with 1 FGHT currently going for $0.0166, although this price will increase in the sale's next stage.

Visit Fight Out Now

Dash 2 Trade (D2T) – Overfunding Round

Also running on Ethereum, Dash 2 Trade is a new and comprehensive trading intelligence platform. Set to launch in the next few months, it will provide real-time analytics and social trading data, giving investors of all experience levels all the resources and tools they could need to make more informed trades.

The sale of its D2T token has raised over $13.6 million and the Dash 2 Trade team is now running an overfunding round before D2T lists on January 11. It has already confirmed listings on BitMart, Changelly Pro, and LBANK Exchange, with more exchanges set to follow.

Visit Dash 2 Trade Now

C+Charge (CCHG) 

C+Charge (CCHG) is a BNB Chain-based peer-to-peer payment network for electric vehicle (EV) charging stations, one which aims to democratize access to carbon credits. It opened the sale for its native CCHG token at the end of 2022, with CCHG set to be used within its network by EV owners to pay to charge their vehicles.

C+Charge will also reward users with carbon credits for charging their EVs at its stations, while the platform has already signed a deal with Perfect Solutions Turkey, adding 20% of the EV chargers in Turkey to its network. 

Visit C+Charge Now

Related Articles: