ADA Price Prediction: A Return to $0.370 to Support a Run at $0.380

Key Insights:

• On Monday, cardano (ADA) rose by 0.81% to end the day at $0.373.
• Investor sentiment towards network updates and project numbers took a back seat, with ADA finding support from the broader crypto market.
• However, the technical indicators remain bearish, with ADA below the 50-day EMA to leave sub-$0.30 in play.

On Monday, ADA gained 0.81%. Following a 1.65% rise on Sunday, ADA ended the day at $0.373. Notably, ADA ended the session at sub-$0.40 for the seventh consecutive session. However, ADA saw its first mini two-day winning streak since October 4.

A bearish start to the day saw ADA fall to an early morning low of $0.366. Steering clear of the First Major Support Level at $0.0364, ADA rallied to an early afternoon high of $0.376. ADA broke through the First Major Resistance Level (R1) at $0.375 before sliding back to sub-$0.370. However, a bullish end to the day supported a return to $0.374 before easing back.

Input Output HK Goes on Cardano Awareness Drive

Overnight, Input Output HK (IOHK) took to Twitter (TWTR) to give the crypto market a rundown of reasons to choose Cardano. IOHK focused on three network attributes,

• Consensus Protocol: Ouroboros, Cardano’s consensus protocol, establishes rigorous security guarantees.
• Staking Experience: Offers liquid staking with no lock-ups or slashing.
• Environmental Impact: Low power consumption.

The latest post follows the weekly development update that revealed only a modest increase in project numbers since the Vasil hard fork.

Network highlights from the weekly development report included,

• Ongoing work on core technology improvements.
• Upcoming Daedalus release to resolve the min-fee calculation issue.
• 102 projects launched on Cardano, unchanged from the previous week.
• 1,120 projects are building on Cardano, up by three from the previous week.

Before the Vasil hard fork, the number of projects launched on Cardano had stood at 98, with 1,100 projects building on the Cardano network. In September, Cardano founder Hoskinson talked about hundreds of projects considering the Cardano network after the mainnet hard fork.

With project numbers providing little support, Coin98Analytics published its latest developer numbers across the networks. Cardano ranked second to Ethereum.

However, investors will likely be more interested in an influx of projects than developer counts. Based on the rankings, ADA should be the second-best performer from the top ten cryptos by market cap. However, ADA is down 14.7% in October, the worst performer. Solana (SOL) is the second worst performer, with a loss of 6.26%. By contrast, ethereum (ETH) is up 0.60%.

ADA Price Action

This morning, ADA was down 1.34% to $0.368. A mixed start to the day saw ADA rise to an early high of $0.374 before falling to a low of $0.367.

The First Major Support Level (S1) at $0.367 limited the downside early on.

Technical Indicators

ADA needs to move through the $0.372 pivot to target the First Major Resistance Level (R1) at $0.377. However, following the latest IOHK weekly update, ADA would need broader market support to break out from the Monday high of $0.376.

In the case of a breakout session, ADA would likely test the Second Major Resistance Level (R2) at $0.382. The Third Major Resistance Level (R3) sits at $0.392.

Failure to move through the pivot would leave the First Major Support Level (S1) at $0.367 in play. However, barring an extended sell-off, ADA should avoid sub-$0.360. The Second Major Support Level at $0.362 should limit the downside. The Third Major Support Level (S3) sits at $0.352.

This morning, the EMAs and the 4-hourly candlestick chart (below) sent a bearish signal.

ADA sat below the 50-day, currently at $0.382. The 50-day EMA fell back from the 100-day EMA, with the 100-day EMA easing back from the 200-day EMAs, delivering bearish signals.

A move through R1 ($0.377) would give the bulls a run at the 50-day EMA ($0.382) and R2 ($0.382). The 200-day EMA sits at $0.422. However, failure to move through the 50-day EMA ($0.382) would leave ADA under pressure.