Cardano [ADA] falls near $2.6 as signs of uptrend halts

After a week full of choppy trading sessions, Cardano [ADA] was down by 6.46%. This comes amidst fresh buying in the rest of the crypto market which rose to a 4-month high of $2.38 trillion valuations. Select altcoins have also hit fresh peaks this week. ADA, on the other hand, have faced negative pressure. After establishing an all-time high on the 2nd September, the bears have thwarted several attempts by the bulls to pierce through the level and surge. As a result, the volatility in the coin market took a significant hit.

Over the past 24-hours, Cardano [ADA] fell by 9.02% which drove its price to $2.64. The 3rd-largest crypto asset recorded a market cap of $90.3 billion and a 24-hour trading volume of $4.62 billion. Will Cardano pick up momentum and resume its up-move or will the bears pull the price below key support level?

Cardano [ADA] Daily Price Chart:

The moving averages aligned below the ADA price candles after an astonishing run-up above $3-level. The bullish momentum was cut short as sellers made their way.

The rising gauge between the 50 DMA [Pink] and other moving averages such as 100 [Blue] as well as 200 [Yellow] hinted a positive sentiment. However, the low trading volume has failed to back up the uptrend.

The red closing bars of Awesome Oscillator [AO] depicted a growing bearish momentum in the coin market. The MACD also flashed red as buying demand took a plunge. The daily Relative Strength Index [RSI] also displayed a similar market sentiment as it fell close to the 50 median line as sellers rose to prominence.

Cardano [ADA] needs to stay afloat above the support area of $2.53, to avoid retesting to lows of $2, $1.71, and $1.52. The resistance levels, in an unlikely case of a bullish reversal, could take the price of the asset to $2.96.

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.