In Light of Recent Events, Cardano (ADA) is Expected to Witness a Radical Shift in 2023

Cardano (ADA) and the rest of the cryptocurrency market had a rough year in 2022, and investors are seeking indicators that might hint at the token’s future moves as 2023 looms. Despite a rough year for prices, Cardano has been quite successful in terms of increasing the number of new crypto wallets, adding over 22,000 since January.

Exciting new things have been happening in the Cardano ecosystem, such as the resumption of testing for the DJED stablecoin with improved functionality and the exponential increase in the number of Plutus Scripts.

In addition, Charles Hoskinson, co-founder and chief technology officer of Cardano, has previously detailed plans for Midnight, the company’s new privacy-centric blockchain, which aims to solve the problem of smart contract privacy by introducing a confidentiality framework.

Nonetheless, bears have remained in command and may continue to rule over ADA prices throughout the last week, as they have kept the range for the week at $0.2482–$0.2707 (the week’s lowest and highest, respectively). The market capitalization has dropped to $8,902,819,650, a dip of 1.04%, while the 24-hour trading volume has dropped to $130,536,253, a fall of 37.94%.

ADA/USD 24-hour price chart (source: CoinMarketCap)

The Supertrend signal on the 4-hour price chart has turned red with a rating of 0.2656, indicating that the bears are now in command. Whether you should purchase or wait is indicated by a change in the indicator’s color. As shown on the ADA price chart, the super-trend indicator turns red when it crosses above the closing price, indicating an exit point or points to sell.

A near-term reversal, however, is likely foreshadowed by the stochastic RSI, which is now located at 82.82 (overbought region). The bear trend might be coming to an end, as indicated by the stochastic RSI’s present direction, but this should be seen not as a promise but as a precaution.

The MACD blue line’s upward trend (-0.0008) above the signal line is more evidence that the bulls still have a chance. Correspondingly, the histogram’s movement towards the positive sector indicates that bear vigor is waning, indicating a possible reversal.

ADA/USD 4-hour price chart (source: TradingView)

Recent events have set the stage for a brighter future in 2023, and if bulls can hold the resistance level, the ADA market may invert and achieve new highs.

Disclaimer: The views and opinions, as well as all the information shared in this price prediction, are published in good faith. Readers must do their research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.

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