Cardano, Binance Coin, and Avalanche See Major Declines

Cardano (ADA) Faces a 50% Drop Risk

Cardano’s price continues to struggle below the $1 mark, despite attempts to break resistance levels earlier this year. After testing the $1.23 resistance in January, ADA faced a significant rejection and entered a downtrend.

Although the altcoin found support near the $0.70 mark, which is close to the Fibonacci 0.382 level, it has not yet shown significant recovery. The Ichimoku Cloud indicator on the daily chart suggests continued resistance for ADA.

On-chain analysis also highlights that the Dollar-Based Average Investment Age (MDIA) is rising, showing that investors are holding their ADA positions but are not actively trading.

Key technical indicators include:

• The Awesome Oscillator (AO) indicates negative momentum for ADA.
• If ADA falls below the $0.56 support level, the price could drop to $0.32.
• If ADA rises above the $0.70 resistance, it could reach $0.94 and, with a market recovery, possibly rise to $1.11.

Binance Coin (BNB) Struggles to Exceed $700

Binance Coin (BNB) reached an all-time high in January but struggled to break the $700 resistance level in mid-February. After a failed rally attempt on February 13, BNB experienced a price decline.

Despite this, Coinglass data reveals that the Long/Short ratio is above 1, suggesting that long positions outnumber short positions. This indicates that traders are expecting the price to rise again.

Additionally, a positive shift in the Weighted Sentiment metric points to potential buying momentum in the market.

Technical analysis shows:

• BNB is finding support around the $600 level.
• If it breaks the $625 level, BNB could rise to $655.
• If BNB falls below $590, the price could drop to $560.

Avalanche (AVAX) Approaches Oversold Territory

Avalanche (AVAX) has seen a sharp decline after facing resistance at $34.40, now nearing the $20 level. The market sentiment for AVAX sits in the fear zone, with the “Fear and Greed Index” reading at 25, signaling fear among traders.

This fear zone could trigger new buying opportunities or increase selling pressure. However, technical analysis suggests that AVAX may face further declines unless there is a significant shift in market conditions.

Key technical indicators for AVAX include:

• The Relative Strength Index (RSI) is approaching oversold territory, indicating potential for price stabilization or further decline.
• The Bull Bear Power metric suggests continued selling pressure.
• AVAX faces a strong selling wall at the $23.60 level, according to IntoTheBlock data.
• If AVAX fails to break through $23.60, it could decline to $17.52. However, increased demand could push the price back toward $30.

Conclusion

As the cryptocurrency market continues to experience volatility, popular altcoins like Cardano (ADA), Binance Coin (BNB), and Avalanche (AVAX) face significant challenges. ADA struggles to break resistance levels, BNB shows sideways movement with potential for a bounce, and AVAX nears oversold territory. Traders should watch for key support and resistance levels for each altcoin as the market trends continue to evolve.