Cardano [ADA] It may be heading for another day, according to this analyst

Cardano [ADA] Positive expectations of investors about Vasil’s upcoming upgrade may be shortened. No, not because the upgrade may encounter some hiccups, but the focus on price performance.

Popular trader and analyst Peter Brand stated via Twitter that the ADA is still on its way to doom despite its poor performance recently. According to Brandt, the recent pattern of the ADA reflected more bearish signals.

In his tweet, the analyst pointed to the descending triangle calling the ADA for another downside.

Are expectations possible?

While Brandt noted that nothing is certain, the patterns on the chart seem to indicate acceptance. According to the four-hour chart, ADA has formed ascending triangles on two occasions since the beginning of September. The first occurred between September 3 and 4, while the second occurred between September 8 and 10.

Source: TradingView

However, on both occasions, the ADA saw some ups and downs before finally falling back into the long red lights. With its current trend, the ADA seemed likely to give in, especially since the Bollinger Bands (BB) revealed the volatility. According to BB, ADA’s volatility is currently in extreme territory.

However, there may be potential facts in Brandt’s predictions. This is due to the indicators from the Exponential Moving Average (EMA). At the time of writing, the 20 EMA (blue) was just below the 50 EMA (orange), which indicates that sellers have forced buyers out of the market’s control. This situation has also been proven by the Directional Movement Index (DMI).

DMI approved the EMA position as the strength of the sellers (in red) at 23.65 was much higher than the buyers (in green) at 12.90. In addition, the Average Directional Index (ADX) showed that the sellers’ strength was so strong that buyers may not be able to reverse it in the short term.

Source: TradingView

With this current momentum, ADA is more likely to continue a downtrend than a bullish reversal.

Measured values ​​in the series

Since Vasil’s upgrade was a week away, it seemed necessary to check the on-chain ADA stats. according to the minutet, the thirty-day market capitalization to realized value (MVRV) was -0.0135%. This value means that the realized value of the ADA was worth more than the market value.

Not much has happened or either the ADA chain of development activity has followed a downward path. At the time of writing, development activity was 27 although it had risen to 40 on September 5th.

Source: feeling

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