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What’s Blocking Cardano Price to blast Out of Consolidation?

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In October, the bitcoin market sprang back to life. In the previous eight days, the combined crypto market cap has risen to $2.3 trillion. 

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Cardano is the talk of the town with the launch of smart contracts. Over the last few weeks, Cardano price has been moving in a bearish direction. However, at the end of September, a higher low was set, showing that bullish momentum was building.

blocking cardano

On the 4-hour chart, the Cardano price is retracing after failing to stay above the $2.30 resistance, implying that further fall is on the way. ADA coins’ daily technical chart and price trend suggest a bullish trend. The initial support zone, based on the pivot point, is $1.90, followed by $1.65. 

Since June, the overall volume has been steadily decreasing. However, in the previous several days, the volume has increased. 

Also Read : Analyst Maps Price Targets for Solana (SOL) and Algorand (ALGO) This Q4

ADA On-chain analysis:

According to IntoTheBlock data, Cardano’s average number of large transactions on-chain declined dramatically at the end of September. Since the start of the recovery, the number of average transactions has stayed below the 6-month mean value. 

Investors who facilitate transfers of $100,000 or more are typically referred to as large transactions. As a result, a decline in significant transactions suggests that the activity seen earlier in the year isn’t present now. 

ada chain analysis

Furthermore, its active address ratio has fallen below the industry average, implying that addresses with a balance have made less transfers since September 15.

CoinShares’recent weekly inflows report also revealed a dearth of institutional buying. According to the same, Bitcoin and Ethereum saw $68.7 million and $20.2 million in inflows, respectively. Cardano, on the other hand, only claimed $1.1 million in capital inflows.

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Disclaimer : The opinion expressed here is not investment advice – it is provided for informational purposes only. It does not necessarily reflect the opinion of Coinpedia. Every investment and trading involves risk, so you should always perform your own research prior to making decisions. We do not recommend investing money you cannot afford to lose.

Delma Wilson

Delma is a B2B Content Marketer, Consultant, Blogger in the field of Blockchain, and Cryptocurrency. In her spare time, she loves to blog, play badminton and watch out ted talks. She likes pets and shares her free time with NGO.

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