Cardano‘s (ADA) price confirmed a downtrend on August 15 by breaking a critical support level. This confirmation came right after the Cardano community’s efforts to promote their unofficial on-chain memecoin, SNEK. While memecoins play a significant role in the success of main network coins like Ethereum, Solana, and Ton, bears have already taken one of the support levels, increasing the risk of further price decline for ADA.
Positive Initiatives in the Cardano World
The SNEK memecoin has rapidly become a growing asset with substantial support from the Cardano community. The community raised 2 million ADA (approximately $645,026) in a short time to promote SNEK at the Las Vegas Sphere for a week. Such efforts have raised expectations that SNEK’s success could return ADA’s price to previous highs.
Meanwhile, the Europe-based real asset tokenization platform Finest decided to start its operations on the Cardano mainnet. The platform’s initiative to tokenize assets like commodities, stocks, and bonds could attract new investors to ADA. This development could positively impact ADA’s long-term price movement.
ADA Continues to Move in a Downtrend
Cardano’s ADA price continues to move in a long-term downtrend. The price is trading below the 21, 50, and 200-day Exponential Moving Averages (EMAs).
Altcoin‘s price broke the initial support level at $0.3275 and may now fall towards the next major support around $0.2800. However, Cardano whales are placing large buy orders at these price levels, indicating potential signs of a reversal.
An analysis of the liquidity order book shows that large investors, known as whales, have placed $1.77 million worth of buy orders between the $0.27 and $0.28 price levels. This suggests that ADA could recover in this region.
