The price of Cardano (ADA) has seen an 8% increase within the past 24 hours, reaching $0.282965. This marks a partial recovery from its steep drop over the past weekend due to the SEC taking action against Binance and Coinbase, as well as the delisting of the altcoin by Robinhood. Consequently, ADA dropped to a low of $0.238477 on Saturday, resulting in a 25% downturn in the past week and only a 15% increase since the beginning of the year – in comparison to 57% for BTC and 46% for ETH.
There are currently no clear signs that whales are purchasing ADA in significant amounts, leaving the possibility of a substantial recovery in question. Its chart and indicators currently display a weakness, as the 30-day moving average fell below the 200-day average over the weekend, and its relative strength index slipped under 20. With the RSI still hovering below 50, ADA may find it challenging to rise above this level in the imminent future.
This uncertainty is further exacerbated by several important support levels being broken during the recent downtrend, dropping below $0.275 and $0.250 in the process. This could weaken ADA’s hold against any additional selling pressure this week. The SEC’s classification of ADA as a security in its legal actions against Coinbase and Binance has already led to its delisting by Robinhood, and other US-based exchanges could potentially follow suit, escalating the risk associated with ADA even further.
However, the SEC’s classification does not necessarily confirm ADA as a security, as demonstrated by the ongoing Ripple-SEC case. It is possible that upon resolution of the Coinbase and Binance cases, ADA could resume its previous position in the market. From a fundamental perspective, Cardano remains in a strong position, with the blockchain network consistently growing and currently hosting around 129 active projects. Clearing up the ambiguity surrounding its legal status in the US could catalyze a significant recovery.
As the market witnesses traders seeking quicker returns, newer altcoins with high potential are gaining attention. Among these, presale tokens like ecoterra (ECOTERRA) are showing promise. Set to launch in the second half of 2023, ecoterra will offer a recycle-to-earn platform, incentivizing users to recycle household waste and generate green energy. With an NFT-based carbon offset mechanism, it aims to promote sustainable behaviors and participation in the green economy.
Ecoterra has already raised more than $5 million, reflecting the growing interest in ESG investment and climate change. As 1 ECOTERRA is currently priced at $0.00925 and set to rise to $0.01 in 16 days, investors may have a limited window of opportunity to buy the token at a lower cost before it eventually lists on exchanges.
Source: Cryptonews
