Cardano (ADA) Stuck Between MAs, Waiting For Something Bigger Than Alonzo
Skerdian Meta • 1 min read
Compared to the rest of the cryptocurrency market, Cardano appeared to be in a better position after the crypto crash in May, which wasn’t as big for Cardano as it was for some other digital coins. Buyers were itching for the bullish trend to resume again, and they erased more than half the losses during their two attempts.
But, it seems like the ADA/USD has settled down, as has the rest of the market, which has come to terms with the fact that the immense bullish momentum of this year, until the middle of May, was a bit too much to be real. It will surely resume again, but we are unlikely to see the same pace of increase as in the previous months.
Cryptocurrencies are waiting to see what will happen with global politics affecting them, and Cardano is waiting between two moving averages on the daily chart. The 100 SMA (green) is acting as support at the bottom, while the 50 SM (yellow) and the 20 SMA (gray) are acting as resistance at the top.
The last bounce off the 100 SMA ended at the 50 SMA, and now the price is turning down again. But, judging from the price action, it seems like Cardano is going nowhere anytime soon.
There are some positive developments for Cardano, but they’re not helping much right now. Cardano announced that Alonzo is now running smart contracts. The Alonzo mainnet update is expected to go live on the Cardano blockchain in late July or early August. However, the Alonzo testnet came out just a couple of weeks ago, and it enjoyed positive results. But, this is having no effect on the price action at the moment.