CandleFocus

Cardano leads the market decline – Why is ADA down today?

The cryptocurrency market is experiencing a correctional phase, with over $500 million in liquidations made in the last 24 hours. The total value of the industry has fallen below $3.4 trillion, reversing most of the early gains of the year. Cardano (ADA) is one of the hardest-hit assets, showing signs of weakness in a broader market pullback. ADA's price has been declining, facing resistance at key price levels. User activity on the Cardano blockchain has sharply declined, and the total value locked (TVL) has also dropped significantly. ADA's price movement has mirrored Bitcoin's, and if Bitcoin continues to correct, ADA is expected to perform poorly. Reports suggest that the US government is preparing to liquidate 69,370 BTC seized from the Silk Road, adding to market uncertainty. Technical analysts predict further declines for ADA if support levels are breached. Sentiments remain negative, and ADA may enter a prolonged downward phase. Traders are advised to wait for confirmation of support before considering long positions. Additionally, ADA's daily RSI has dropped, indicating increasing selling pressure.

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