The cryptocurrency market has lost around half its value, with the total market cap falling to $1.5 billion from around $3 billion at the beginning of November. Yesterday alone we saw a 5% decline until a certain time as the conflict in Ukraine escalated, but then the market started to reverse higher. Cardano and Binance coins have recuperated some of the losses, but they face many indicators above, particularly ADA.
Will the Previous Support at $1 Turn into Resistance?
Cardano has been bearish since September, after Launching the Alonzo upgrade, which brought smart contracts to Cardano and the first DEX, SundaeSwp went live last month. Although, there have been congestion issues, which Cardano’s team aims to resolve by increasing block sizes and expanding Plutus script memory units. According to Messari, Cardano is leading in 24-hour adjusted volume transactions at more than $16 billion, twice the amount of Bitcoin transactions.
Meanwhile, Cardano sharks holding from 10,000 to 100,000 ADA coins continue to accumulate. On another front, the Bitrue crypto exchange is making ADA one of the base currencies, for the conversion of assets such as FLUX, DGB, RSR, GAS, among others. But, ADA remains below $1 and it will have to climb above that level to resume the bullish trend.
Binance Daily Chart Analysis – The Support at $330 Holds
Binane coin had a strong rally in the first several months of last year, but lagged behind the crypto market in the second bullish period from August until November, failing to make new highs as most cryptos did. Although, the Binance exchange came under coordinated attack last year, which weighed on the BNB con somewhat, but Binance is surviving all this and is expanding into the mainstream.
Can BNB Bounce off the Support Zone?
Binance is buying half of Forbes media for $200 billion after acquiring the crypto Visa card provider, Swipe. Besides that, Binance is speeding up the development of the Binance Smart Chain ecosystem by launching a $1 billion program. So, BNB should turn bullish once the market sentiment improves and it did bounce off the support at around $330 yesterday after the decline. But, buyers should push above the 50 daily SMA (yellow) for the trend to shift. Until then the trend is bearish.