Cardano Price Down Again, But Signals Reversal Ahead of White House Crypto Summit
- Summary:
- ADA price was recently bumped up by its inclusion in a potential strategic Federal crypto reserve, but there’s more at play in its latest drop
Cardano price was down for the second successive day on Friday, going down by 4% and trading at $0.870 at the time of writing. The decline comes despite the coin’s inclusion in a Federal Strategic Cryptocurrency Reserve, expected headline the conversation during the White House Crypto Summit.
Despite its recent downturn, ADA price is still up by 34% in the last week, after skyrocketing by 72% last Sunday following President Donald Trump’s statement on his Truth Social account. However, there is an underlying question as to whether ADA could be the least prefered crypto coin in the reserve after the White House failed to invite IOHK Founder Charles Hoskinson for today’s summit.
Cardano blockchain’s architecture is optimised for high transaction speed, relatively low fees, high throughput and security, making ADA a suitable inclusion in any Federal financial system.
Meanwhile, the coin’s 24-hour transaction volume was down by 17% as of this writing, signaling the declining selling pressure due to the ADA price downturn. A continuation of the trend will limit the crypto coin’s losses.
The White House Crypto Summit will highlight the role of crypto in the US financial system in the coming years. It is expected to result in increased institutional adoption of cryptocurrencies, especially those forming part of the Federal Strategic Reserve like ADA. Therefore ADA price could experience increased volatility in the days following the summit.
ADA Price Prediction
ADA price pivots at $0.900 and resistance at that level signals control by the sellers. The action will likely move downward to find the first support at $0.850. An extended control by the sellers will break below that level and clear the path to test the second support at $0.814.
On the other hand, the momentum could shift to the upside if ADAUSD breaks above $0.900. That could result in a drive towards the first resistance at $0.931. Breaching that barrier will invalidate the downside narrative, with the resulting momentu potentially taking the price higher to test $0.958.
