Cardano (ADA) Price Prediction: Enters Its Ninth Week of Sideways Price Action

Assessing the token's 7-day price trajectory, the altcoin is trading within a narrow range, signifying low volatility or lack of strong directional movement.

Cardano’s price action has entered its ninth week of sideways trading, and market analysts believe that this trend is likely to continue. Assessing the token’s 7-day price trajectory, the altcoin is currently trading within a narrow range, which can be attributed to low volatility or a lack of strong directional movement.

Shifting the focus to Fibonacci Retracement levels, specifically the 0.382 fib or 63 cents reading, there is a strong potential for the token to dip below the $0.63 level. As the price approaches the 0.382 fib, traders need to pay close attention to this development. For those unfamiliar, Fibonacci retracement levels are a key technical metric used to identify potential support and resistance levels of an asset or stock.

Another crucial aspect to highlight is the white circle, which is located near the 63c level and falls close to the 200 SMA (simple moving average). This convergence further confirms the expected drop of the ADA to around $0.63, ultimately reinforcing the overall bearish sentiment surrounding the token.

However, despite the bleak outlook, market analysts believe that the current price levels present an attractive entry point for retail investors. In scenarios like this, where an asset experiences a setback, savvy traders seize the opportunity to buy the dip and continue accumulating the token in anticipation of a future price surge.

Moreover, there is a strong belief that $ADA is undervalued at these levels, which can lead to a strong rally once the selling pressure subsides and demand takes over. This belief is further fuelling hope for a price rise.

Cardano’s Retail Investors Eye Accumulation Despite Downturn

As the price approaches the 200 SMA, which is often seen as a strong support line, some traders view it as a bullish signal. However, it’s important to note that the 200 SMA is usually used in longer time frames, such as the 4-hour chart or daily chart, to provide a more significant technical indicator.

In other news, founder Charles Hoskinson recently dropped a bombshell by saying that the blockchain platform is keen on getting Ripple stablecoin RLUSD on Cardano. Currently, both the leading blockchain firms are at the discussion stage, and if successful, this move could lead to mass stablecoin adoption on the smart contract platform.