Indeed, cross-chain platforms have profited from the prospering DeFi marketplace. That is due to their capabilities to allow crypto swaps between various blockchains. That had the native token of such a platform performing well following clampdowns on the markets, forcing investors to consider other blockchain networks. Cardano and Polkadot are among the recognizable cross-chains in the market at the moment.
ADA Weekly Chart Analysis
Cardano had its price rising from $0.1 at the start of the year to around $2.7 in May. However, the overall market crash that followed weighed on the altcoin, sending it lower towards $1 – the level it flipped into the support zone. Meanwhile, ADA/USD maintained its price within the $1 – $1.50 range for multiple months besides the May jump that did not persist.
The price created a hammer candle the last time it touched the range’s bottom area, a bullish reversal sign suggesting a price bounce. Cardano rallied past $3 during the initial week of September. However, the bearish wave in September had ADA dropping after a bullish gesture top doji.
However, analysts believe that the retracement will not sustain. That is because the Kusama update with parachains attracted considerable attention in the crypto industry. That would increase the network and ADA’s demand according to the previous actions.
Also, the technical outlook suggests an incoming bullish reversal for ADA/USD. The 20 Simple Moving Average has served as support on multiple trials to push under it. That way, the price created two hammer candles beyond it, a bullish revival gesture. With that, market players can expect ADA to resume its bullish strength, surging past $3 – the level that might switch to support.
Daily Chart Analysis
Polkadot sustained losses during the massive cryptocurrency market in May-June, plunging towards $10. However, it recovered from the price level, gaining almost 400% in September’s first week. The massive surge had the alt hovering around the $40 level.
The 20 Simple Moving Average acted as a support during the asset’s increase, but it may have shifted into resistance at the moment. The 50-day SMA switched into ultimate support while pushing the plunges high. The alt was stuck under the 20 SMA for multiple days now. While writing this, buyers attempt to take DOT past this MA.
The information provided on this website should not be interpreted as financial or investment guidance and may not embody the perspectives of Forex Tools Trader or its contributors. Forex Tools Trader does not hold responsibility for any financial setbacks experienced due to the use of information provided on this website by its writers or patrons. It's essential to thoroughly investigate and make informed decisions before entering any financial commitments, particularly concerning third-party reviews, presales, and similar ventures. The content you are viewing may be sponsored content, read our full disclaimer to learn more.