Cardano is down these days! However, it may be an opportunity to buy for the long term because of the following three reasons. It is one of the top ten cryptocurrencies by market capitalization, so it has less risk than other altcoins.
The best part is that Cardano has a public road map for the development. It has already completed the fourth phase of development and is now running the fifth phase in November, known as Voltaire. It aims to provide additional aspects that make it self-sustainable blockchain technology in the future.
Cardano is not listed on the FTX platform, but the head of FTX said the process is coming soon, and Cardano will be available on FTX for trading. Besides that, it has launched Hydra, a layer two scaling solution to make blockchain transactions faster.
It aims to achieve 1000 transactions per second. Djed will be a major launch on the Cardano network that will make algorithmic changes in the stablecoin. This would make Cardano a more prominent player in the DeFi industry.
While writing, ADA was trading around $0.369. It has faced resistance of around $0.43, which was support for the short term. The candlesticks are forming around the baseline of BB, and $0.43 could be a strong resistance for the short term, so Cardano might consolidate within this range.
Most technicals are currently neutral; we do not think it is an ideal time to invest for the short term. However, you can always read our Cardano prediction to know the future projections of the coin for the next few years!
On the weekly chart, ADA has been forming lower highs and lower lows; the last two weekly candles are read, suggesting a strong downtrend for the long term. You can accumulate some coins at this stage since Cardano has strong fundamentals, but we do not think it is an ideal time to invest until it finds a strong bottom.
Indeed, Cardano is a popular digital asset with a wide range of use cases and has many potentials. Still, you should wait until it changes the momentum for the long term!