The ADA price started March with a bang, increasing over 70% after U.S. President Donald Trump included it in the five cryptocurrencies selected for the strategic crypto reserve.
This week, there was some positive Cardano news. Cardano’s Venture Hub announced the first cohort of five ventures joining the program, selected from 46 submissions, aiming to drive ecosystem growth.
With that in mind, let’s look at the Cardano price movement and see if ADA can prevent a breakdown from its long-term support of $0.73.
ADA Returns to Support
The weekly time frame shows that ADA has fallen since its cycle high of $1.33 in December 2024.
The price created a lower high (red icon) in March, confirming the $1.20 horizontal area as resistance and creating a bearish, engulfing candlestick the next day.
Technical indicators are bearish. The Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) are falling. The RSI is below 50, and the MACD has made a bearish cross.
Therefore, the weekly time frame suggests an eventual ADA breakdown is likely. Let’s look at the short-term outlook to determine if ADA can bounce before breaking down.
Can Cardano Bounce?
The daily time frame gives a similarly bearish prediction. The wave count suggests that ADA is in wave C of an A-B-C correction that started in December 2024.
If wave C has the same length as wave A, the price will reach a low of $0.38.
Currently, ADA trades just above the minor support at $0.66. A breakdown will confirm that the downward movement has started, taking ADA to new lows.
On the other hand, breaking out from the triangle will invalidate this count. The ADA price could then begin a relief rally toward $0.80.
ADA Breakdown Ahead
The ADA price prevented a breakdown by bouncing inside a long-term horizontal support level.
However, the long- and short-term readings suggest a breakdown is likely, causing a decline to $0.48 and possibly $0.37.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Valdrin Tahiri is a cryptocurrency analyst and reporter at CCN, specializing in technical analysis with a focus on Elliott Wave theory, on-chain metrics, and fundamental research. He brings over seven years of experience in the crypto space as both a trader and writer.
He discovered cryptocurrencies in 2017 while earning his MSc in Financial Markets at the Barcelona School of Economics, which sparked a deep interest in blockchain and market dynamics. Since then, he’s contributed to top crypto outlets like BeInCrypto and CoinGape.
Valdrin also served as Community Manager of BeInCrypto’s Telegram group for three years, helping grow it into one of the largest crypto communities worldwide. His expertise in market structure and price patterns allows him to break down complex trends into clear, actionable insights.
He’s published thousands of articles covering altcoins, Bitcoin cycles, and macro trends.
