- Cardano’s on-chain metrics gave a signal to buy.
- It is possible to establish a short-term upward trend, using the resistance level of $0.43 as a zone for taking profits.
Cardano [ADA] On the daily timeframe, the coin was trading below resistance at $0.355. Technical indicators also showed a downward trend.
AMBCrypto’s on-chain analysis revealed a positive picture of bulls. Will recovery occur in August or do long-term investors have to wait for many weeks more?
Cardano tried to establish a lower low
After a steep drop during the first few weeks of August, the OBV is now flat. The buying volume is still not superior. The daily RSI, which was 40 at the time of writing this article, showed that momentum remained in a bearish direction.
The price action revealed the same. However, there is some hope for bulls. Price action confirmed the bearish bias, but bulls have some hope since the drop to below $0.3.
The Overlooked next It could create a bullish lower-timeframe structure in the coming weeks and make a series higher lows, if it is able to break through the resistance of $0.355. In the daily timeframe however, it is the lower high of $0.429 that needs to be beaten.
More hope for the future of network activity
The MVRV 30-day was negative. However, the average coin age is now trending upwards. This buy signal showed that ADA is undervalued and also being accumulated.
You can read more about it here Cardano’s [ADA] Price Prediction 2024-25
Daily active addresses increased compared with mid-July. A panic sale could have caused the activity surge on 5 August. On the 8th August, prices climbed.
The activity will continue to show similar figures, which would signal an increase in speculators and the demand for tokens.
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Source: ambcrypto.com