Top Analyst Says Cardano Showing Weakness Against One Altcoin – But Strength Against Ethereum, Bitcoin, Polkadot and Binance Coin Growing
High-profile crypto trader Jason Pizzino is comparing Cardano’s price action to Bitcoin and other top crypto assets.
Pizzino says Ethereum competitor Cardano (ADA) is holding up well despite the late-May crypto correction that hammered the markets.
Pizzino asserts that ADA is performing well in the short-term against USD, meeting heavy resistance in the $1.80 to $1.90 range and is making higher lows.
The trader expects ADA to do well over the long term against USD, but cautions that the asset’s next leg up may take some time.
“I don’t believe we’re going to be shooting up to new all-time highs and running off to five bucks any time soon. If we do do that, I see that as a much weaker bull market. A stronger bull market is going to keep us in these ranges for a longer period of time so that we can accumulate, reaccumulate, strengthen the base and then take off.”
Pizzino notes that the ADA/BTC chart looks relatively healthy, though “the volume is drying up,” which could be a difficult factor to surmount. The analyst does not believe ADA will reach new highs in its BTC pair any time soon, but notes that Cardano is toying around at a local high of 0.00005 satoshis (sats).
As for ADA/ETH, Cardano may bull pack by 15% or 20%, but is not looking unhealthy against its top competitor, says Pizzino. ADA also “looks okay” against Binance Smart Chain’s native BNB coin, but looks a little better against smart contract platform Polkadot (DOT), according to the trader. Pizzino says that ADA may pullback a tad against DOT or remain in an accumulation zone for a moment.
The asset that Cardano does not look as strong against is scalable blockchain platform Solana (SOL), which has survived the market crash well, only down 5% in the past 30 days.
“SOL has gone on a pretty decent run over the last couple of weeks after the crash… and the rest of the market has either held steady or fallen away. So SOL is stronger over the last couple of weeks, but Cardano is still holding ground. We haven’t come back to the old lows so that’s a good sign, we’ve found some resistance at previous levels, no problems.”
Though ADA seems to be range-bound in the short term, Pizzino emphasizes that for those looking to invest over the long term, Cardano is a good bet at any time.
“Long term I think we’ve got some good gains coming up here and in case things don’t go to plan… if this happens, personally I think it’s a buying opportunity.”
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Author: Daily Hodl Staff