Cardano’s (ADA) price is seemingly recovery-bound, but it would warrant extensive support from the market and investors.
Luckily for the altcoin, ADA holders are already looking to observe gains again, which could be a key factor in the recovery.
Cardano Investors’ Optimism Remains Strong
Cardano’s price might have registered lower lows throughout June, but that did not stop the investors from HODLing. The Mean Coin Age has been consistently increasing, indicating that the average age of coins held is rising.
This steady uptick in the Mean Coin Age suggests that investors are holding onto their ADA tokens for longer periods. This behavior is often seen as a sign of confidence in the asset’s future performance.
Overall, the rising Mean Coin Age demonstrates strong conviction among ADA holders, even as the price attempts to reclaim key support levels.
This would also mean a surge in the profits noted by the investor. According to the Global In/Out of the Money (GIOM) metric, ADA is facing losses of about 1.7 billion ADA. Bought between $0.39 and $0.42, this $683 million supply could impact the market considerably.
However, should Cardano’s price manage to note a successful increase in price, this supply would become profitable. As a result, more investors would be drawn towards the asset, strengthening the overall resilience of ADA in a bearish market.
Read More: How To Buy Cardano (ADA) and Everything You Need To Know
ADA Price Prediction: Noting a Bounce-Back
Cardano’s price fell out of a bullish symmetrical triangle a month ago at the beginning of June. Since then, the drawdown has ensured that ADA is now trading below $0.40. As a result, the third-generation altcoin is now trading below $0.40.
However, with the support of the bullish cues and investors’ confidence, Cardano’s price could bounce back. Once $0.40 is flipped into support, recovery could begin. The target price is $0.42 in the short term and $0.46 in the long term.
Read More: Cardano (ADA) Price Prediction 2024/2025/2030
However, if investors turn to sell for profits earlier than the targets are reached, the bullish thesis could be invalidated. This would result in ADA failing to breach $0.42.
Disclaimer
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