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The Cardano price correction approaching the multi-month support trendline indicates a high potential for buyers to regain bullish momentum. Why Cardano’s price might tank again this week Since dropping to yearly lows on 12 May, Cardano’s price has recouped by 24% thanks to Bitcoin’s weekend What could affect ADA’s price in the following weeks? Cardano’s price trajectory hinges on the resolution of its symmetrical triangle pattern. A bullish breakout above As the RSI cools down to more neutral territory this week, the Cardano price correction is expected to continue. A local bottom at $0.8206 seems credible, aligning with the Data compiled by IntoTheBlock shows that Cardano’s transaction fees have crashed to a three-year low this week. This fee plunged to 0.25 ADA on Wednesday morning Since dropping to yearly lows on 12 May, Cardano’s price has recouped by 24% thanks to Bitcoin’s weekend recovery. However, the 4-hour chart flashes imminent Cardano price extends its decline on Friday after falling 23% this week. Santiment data shows ADA daily active addresses falling, indicating lower network demand.

Why Cardano's Price Might Tank Again This Week

Is another Cardano (ADA) price drop looming? After a volatile period, the question on everyone's mind is: Why Cardano's price might tank again this week? Despite a recent 24% recovery from yearly lows on May 12th, fueled in part by Bitcoin's weekend recovery, the picture remains complex.

Cardano price extends its decline on Friday after falling 23% this week. Several factors contribute to this potential downward pressure. Santiment data highlights that ADA daily active addresses are falling, indicating lower network demand. This decreased activity could signal a lack of confidence or adoption, negatively impacting price.

Furthermore, Data compiled by IntoTheBlock shows that Cardano’s transaction fees have crashed to a three-year low this week. This fee plunged to 0.25 ADA on Wednesday morning. This significant drop in transaction fees, while beneficial for users, could indicate a decrease in overall network usage and potentially reduced revenue for validators, leading to negative sentiment.

Technical analysis also plays a crucial role. As the RSI cools down to more neutral territory this week, the Cardano price correction is expected to continue. A local bottom at $0.8206 seems credible, aligning with the previous support levels. The 4-hour chart flashes imminent bearish signals, suggesting further downside in the short term.

However, it's not all doom and gloom. The Cardano price correction approaching the multi-month support trendline indicates a high potential for buyers to regain bullish momentum. A bounce from this level could invalidate the bearish scenario. Cardano’s price trajectory hinges on the resolution of its symmetrical triangle pattern. A bullish breakout above the upper trendline of the triangle could trigger a significant rally.

What could affect ADA’s price in the following weeks? Ultimately, Cardano's price action will depend on a combination of factors, including overall market sentiment, Bitcoin's performance, and continued development within the Cardano ecosystem. Keep a close watch on on-chain metrics and technical indicators to anticipate potential price movements.

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