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Cardano Price’s Deep Slumber Elapses as Hong Kong’s Crypto Trading Hype Explodes

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Cardano is among the few tokens eligible for crypto trading in Hong Kong following the city regulator’s announcement on Tuesday. Meanwhile, ADA like many of its peers is dealing with shrinking trading volumes with $146 million coming in over 24 hours, according to price data from CoinMarketCap.

The almost $13 billion crypto ecosystem is in the red with the native token ADA trading 1.4% down on Wednesday – roughly at $0.3658. Cardano price must hold firmly to support at $0.36 to shrink the growing chances of a bigger slide.

Cardano Price Faces Another Rejection Under $0.37

Although Cardano put up an impressive fight at the beginning of the year, climbing from lows around $0.24 to highs of $0.46 in mid-April, the smart contracts system now finds itself in a precarious situation, where support at $0.36 must be defended or risk a retracement to $0.3, or worse $0.24.

Reinforcing the support at $0.36 is the multi-month ascending trendline which initially came in handy in early January and March.

This means the trendline is essential for the resumption of the trend, however, investors may be forced to acclimatize to declines targeting $0.3 and $0.24, as earlier projected.

ADA/USD daily chart

The technical structure on the daily chart is also complicated by ADA’s position below all the major applied moving averages, starting with the 100-day Exponential Moving Average (EMA) (in blue), the 50-day EMA (in red), and the 200-day EMA (in purple).

For traders looking forward to new long positions in Cardano, it would be prudent to wait for a rebound from the ascending trendline.

Moreover, a break and hold above the immediate resistance at $0.37 could encourage investors currently on the sidelines to make a comeback, thus creating the necessary liquidity to propel ADA past all three moving averages, especially the 200-day EMA.

Although Cardano remains an untradeable asset at the moment, following the movement of the Moving Average Convergence Divergence (MACD) may help traders identify some rare opportunities.

The movement to watch out for is the MACD line in blue potential flip above the signal line, which is often considered a call to buy. Additionally, moving into the positive region above the mean line at 0.00 would further increase the bullish grip.

Cardano Network Transaction Suggests Healthy Growth

Cardano’s transaction data exhibited robust growth, highlighting the network’s current strength according to an analysis by IntoTheBlock. The on-chain analysis identified transaction count and transaction volume as the crucial aspects to observe.

The smart contracts network transaction count rose by 33.45% from its lowest point in the past year.

In the meantime, transaction volume had reached a three-month high. Cardano also experienced a substantial rebound in transaction volumes from its 2022 nadir, with ADA’s transaction volume increasing by approximately 205% year-to-date.

This remarkable performance emphasizes that the network achieved considerable adoption despite challenging market conditions. Cardano is anticipated to sustain its positive growth, primarily due to its layer 2 scalability network, Hydra.

ADA Among Crypto Tokens Eligible for Trading in Hong Kong

The Hong Kong Securities and Futures Commission (SFC) announced on Tuesday that it will allow investors to buy and sell crypto tokens under the city’s new guidelines for the industry.

Hong Kong, although part of mainland China, has since the beginning of the year been establishing itself as a global crypto hub. After announcing that will start regulating crypto exchanges and crypto-focused companies earlier in the year, the SCF says it is ready to green light crypto trading.

The new licensing regime is expected to start operating on June 1. However, not all cryptos will be allowed for trading in Hong Kong as it is using “minimum criteria” to determine eligibility.

“Our regulations will be tight […] We will let the industry develop and innovate. We will let them create the ecosystem here, and that actually brings a lot of excitement […],” Eddie Yue Wai-man, Chief Executive of the Hong Kong Monetary Authority (HKMA). “But that doesn’t mean light-touch regulation. If any participant [thinks] that the regulation is too tight, they’re welcome to go elsewhere.”

According to reports going around in the market, it would be possible to trade Bitcoin (BTC), and Ethereum (ETH) as soon as June 1.

Other cryptos investors expect to trade in Hong Kong include ADA, SOL, FIL, BCH, ATOM, MATIC, BNB, LTC, LINK, AVAX, and DOT.

It is possible that the return of crypto trading in Hong Kong after a long-standing freeze could bring back the volatility that has been diminishing, triggered by improving investor interest.

Cardano price is expected to revive the uptrend for a move to $0.46 and $1, respectively. But first, support at $0.36 must be defended at all costs.

yPredict – The Cardano AI-Powered Crypto Price Prediction Alternative to Buy

As investors wait for the start of a new era for the crypto industry in Hong Kong, it would be prudent to start diversifying portfolios early enough.

Up-and-coming projects like yPredict allow investors to buy highly discounted tokens in their presale stages.

The team analyzes these emerging ecosystems weekly, to bring you some of the best crypto presales to buy for 2023.

In brief, yPredict is an AI-powered trading and market intelligence platform that mainly focuses on helping investors block out the noise and see the bigger picture which is necessary and vital to making the desired profits.

yPredict aims to enhance its technological capabilities and deliver innovative AI solutions to its clients.

Meanwhile, the team is introducing YPRED tokens in the market via a viral presale that has raised $1.66 million in a matter of weeks.

Investors are buying YPRED for $0.09 in stage six but this price will increase to $0.1 in the next round, while the token is expected to list on exchanges at $0.12.

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