Cardano

Wednesday

Bitcoin

Cardano (ADA), the cryptocurrency that powers the smart-contract-enabled layer-1 Cardano blockchain protocol, dumped 7.5% on Wednesday. 
ADA/USD was last changing hands around $0.56 per token, having at one point traded as much as 16% lower on the day when it hot lows just above $0.50, near its 50DMA. 
<a href="https://cryptonews.com/coins/cardano/">ADA’s</a> downside comes amid a broader leveraged-fuelled sell-off across crypto that was probably triggered by FUD regarding the possibility that the <a href="https://cryptonews.com/news/matrixport-analysis-sec-to-reject-etf-applications-in-january-with-final-approval-pushed-to-q2-2024.htm">US SEC refuses to approve spot Bitcoin ETFs</a> in the very near future. 
Macro headwinds may also have contributed to the sell off, with <a href="https://www.reuters.com/markets/us/futures-point-fresh-losses-wall-street-yields-rise-2024-01-03/">US stocks pulling lower</a> and the US Dollar Index (DXY) and US government bond yields rising on Wednesday as macro traders pair back on Fed rate cut bets this year. 
The latest <a href="https://www.reuters.com/markets/us/us-manufacturing-sector-eyes-recovery-december-ism-2024-01-03/#:~:text=The%20Institute%20for%20Supply%20Management,which%20indicates%20contraction%20in%20manufacturing.">weak US ISM Manufacturing PMI numbers</a> for December and the release of the <a href="https://www.reuters.com/markets/us/fed-minutes-may-elaborate-coming-rate-cut-debate-2024-01-03/">minutes from the Fed’s December meeting</a> didn’t have a lasting impact on the crypto market or <a href="https://cryptonews.com/tags/cardano/">ADA</a>. 
<h2 id="price-prediction-where-next-for-cardano-ada">Price Prediction – Where Next for Cardano (ADA)?</h2> 
 ADA’s fortunes were likely worsened by the fact that Wednesday’s price drop saw the cryptocurrency break below a key short-term uptrend that had been supporting the price action since mid-December. 
If ADA proceeds to find resistance at this prior uptrend, this could confirm that the cryptocurrency has entered into a near-term downtrend. Cardano (ADA) Chart / Source: TradingView 
That being said, ADA’s strong bounce from its 50DMA on Wednesday is a bullish sign, clouding the near-term outlook. 
Longer-term, <a href="https://cryptonews.com/news/cardano-price-prediction-as-ada-breaks-above-0-63-is-a-major-rally-imminent.htm">price predictions are likely to remain bullish</a>. 
Most analysts continue to think it’s a matter of when, not if, spot Bitcoin ETFs are approved, that the Fed will soon be easing financial conditions via rate cuts, and that other (potentially) bullish themes such as the upcoming <a href="https://cryptonews.com/tags/bitcoin-halving/">Bitcoin issuance rate halving</a> and US elections could also support sentiment in 2024. 
Dips back to $0.50 may continue to be looked at as good opportunities to buy the dip, with ADA still likely to recover back above $1.0 this year. 
<h2 id="crypto-alternatives-to-consider">Crypto Alternatives to Consider</h2> 
 Cardano (ADA) could offer big potential returns in 2024, but also comes with a lot of risk. 
For those looking for a better probability of near-term gains, an alternative high-risk, high-reward investment strategy to consider is getting involved in&nbsp;<a href="https://cryptonews.com/news/new-cryptocurrency.htm">crypto presales</a>. 
This is where investors buy the tokens of upstart crypto projects to help fund their development. 
These tokens are nearly always sold cheaply, and there is a long history of presales delivering huge exponential gains to early investors. 
Many of these projects have fantastic teams behind them and a great vision to deliver a revolutionary crypto application/platform. 
If an investor can identify such projects, the risk/reward of their presale investment is very good. 
The team at Cryptonews spends a lot of time combing through presale projects to help investors out. 
Here is a list of 15 of what the project deems as the best crypto presales of 2023. 
<a href="https://cryptonews.com/news/new-cryptocurrency.htm">See the 15 Cryptocurrencies</a> 
Disclosure: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. By using this website, you agree to our&nbsp;<a href="https://cryptonews.com/terms-and-conditions.htm">terms and conditions</a>. We may utilize affiliate links within our content, and receive commission.

Cardano Price Prediction as ADA Dumps 7.5% – Can ADA hit $1 in 2024?

Table of Contents

Cryptonews.com

Other articles published on Jan 3, 2024

SEC To Finalize Comments On Spot Bitcoin ETFs With Nasdaq, NYSE

Ethereum Supply Surge on CEX Raises Concerns Amid Bull Rally

PawFury Launches $PawFactory with Live Presale of Up to 149% Bonus

RUNE Price Eyes $10 With This Breakout, Should You Be Buying?

South Korea excludes decentralized crypto wallets from overseas declarations

Radiant Capital Halts Arbitrum Operations Post $4.5 Million Exploit

Join our free newsletter for daily crypto updates!