Cardano Encounters Strong Obstacles on its Journey Towards Reaching $1

Cardano is encountering notable resistance as it strives to reach the coveted $1 mark, as indicated by on-chain data.
After reaching a yearly high of around $0.8 in mid-March, Cardano’s price has faced challenges, dropping to as low as $0.58 a week later and currently settling at $0.647. This decline can be attributed to a broader market sell-off, which has hindered ADA’s growth.
The price movement has pushed Cardano’s price below several robust resistance levels, including the range between $0.65 and $0.70. IntoTheBlock data reveals that investors have purchased a total of 2.14 billion ADA ($1.36 billion) at this price level. These investors may exert significant selling pressure, especially if there are bearish buyers who are willing to exit their positions at a breakeven price or with slight profits.
Consequently, Cardano bulls will need to put up a strong fight to surpass this price range and drive Cardano’s price higher in 2024.
Additionally, the next resistance levels lie in the ascending channel between $0.7 and $0.72. Around 108,000 addresses have acquired 1.42 billion ADA ($908 million) at this level, which could potentially create selling pressure.
Despite the challenges posed by these resistance levels, there is a glimmer of hope for Cardano investors. The overall sentiment in the crypto market remains largely bullish, especially with the upcoming Bitcoin halving and the potential continuation of the bull run. In such a scenario, Cardano could greatly benefit, considering its position among the top ten cryptocurrencies by market cap.
Many analysts predict that Cardano could reach heights of $5 or even $7.5 during this cycle, surpassing its previous all-time high by a significant margin. This represents a more than 1,000% increase from Cardano’s current price.
It is important to note that this content is purely informational and should not be considered as financial advice. The opinions expressed in this article are the author’s own and do not reflect the views of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions. The Crypto Basic holds no responsibility for any financial losses incurred.