Cardano SuperTrend Turns Bearish—Last Signal Preceded 80% ADA Drop

An analyst has noted a technical analysis (TA) signal on Cardano's weekly chart indicating a potential bearish trend reversal, as observed in the SuperTrend indicator.

Key Points

  • The SuperTrend is a TA indicator used to gauge bullish or bearish trends based on the Average True Range (ATR), measuring price volatility.
  • Currently, Cardano's SuperTrend has flipped to bearish, similar to a pattern seen before an 80% decline in 2022.
  • This development suggests the possibility of a negative trajectory unless a bullish momentum returns.
  • Bitcoin has also shown a bearish SuperTrend shift, reminiscent of past market downturns where BTC fell over 60%.

Current Price Movement

  • Cardano's price briefly recovered to $0.48 but has retracted to $0.40.

Cardano SuperTrend

Bitcoin SuperTrend