Cardano (ADA) price appears bullish as it makes a U-turn on Monday following negative economic spikes from China that have worried crypto traders.
Moreover, many major corporations, including McDonald’s, are leaving Russia. All of these factors contribute to elevated risk sentiment, making it exceedingly difficult for major cryptocurrencies to rise in price.
This could be bad news for ADA, as it risks a 32% correction. The negative sentiment has been steadily increasing, indicating a downward trend in the coming quarters.
As of this writing, the cryptocurrency is trading at $0.560514(R8.98) on Coingecko, down 10% in the last seven days.
ADA Is About To Drop Below $0.40(R6.41)
Tail risks continue to rise and do not appear to be abating, suggesting that ADA investors may seek to exit the market soon.
The ADA price is set to fall below $0.47(R7.53), or to the low end of the distribution zone, where it could even reach $0.38(R6.09).
On the bright side, given the developments in global economics and the Cardano community, the first trading day of the week has shown signs of improvement. In fact, the ADA price could fall to $0.687(R11.07) before rising to $0.915(R14.66).
Despite a massive drop over the last week, Cardano managed to recover and reach $0.613(R9.82) on May 16. Meanwhile, Cardano is currently shaking off its % gains.
As seen over the weekend, it went through a three-day bounce right there. Whale activity was observed for Cardano, indicating a price direction change.
Cardano TVL is valued at approximately $174.74 million(R2.8B). It may appear that the increase is insignificant, but it is a winning jump given that it has been steadily declining since its peak TVL of $434.74 million(R6.9B) in the first quarter, or March 28.
Cardano Flag Atop Mount Everest
Cardano founder Charles Hoskinson is loud and proud to have reached the summit of Mount Everest. He was overjoyed with the community’s enthusiastic support. His remark, “We got marketing,” speaks volumes about his optimism, despite the downward trend that ADA has shown in recent days.
The Cardano CEO is proud to lead a strong and dedicated community with 3 million members and counting. Cardano’s native tokens have also increased to 4.7 million.
Cardano has also received an additional $20 million(R319M) in funding since May 13. Its TVL increased from 18 million(R288M) a few days ago to $137 million(R2.2B) on May 16 – a 6 % increase in TVL in just 24 hours.