Last week, the cryptocurrency market went through one of the barbaric blood baths where almost every cryptocurrency, except a few, fell by double-digit percentages.
Like many other cryptocurrencies, even Cardano bulls are facing pressure after the May 12 crypto crash.
At the time of publication, Cardano’s ADA was trading at $0.526, down 1.99% over the past 24 hours.
Cardano to see another price crash
With the way Cardano price action is currently performing, it appears that ADA price is heading towards a bearish trend. A bearish continuation pattern in Cardano price momentum with repeated rejections against the weakest level (Tenkan-sen) of the Ichimoku Kinko Hyo system is likely to see bullish confidence and rejection.
Currently, for Cardano, the $0.49 range is acting as an important level to watch. If Cardano manages to close its daily candlestick at or below $0.49, the price will remain below the current high volume pattern. The volume profile for 2022 and 2021 indicates extremely thin trading prices up to $0.35, a low high volume node.
Price action behavior in volume profiles is used by analysts and traders as follows: When price moves up/down from a high volume node, it can move to the next level depending on how thin the volume is between the two nodes. Higher volumes will travel faster to the node. , The faster they travel, the smaller the volume. As a result, the most expected price of Cardano is likely to be bullish.
Bulls would need to push Cardano price above the Kijun-sen at least above $0.66 to invalidate any additional near-term downside sentiment.