Cardano (ADA), the eighth-largest crypto by market cap, has taken a beating over the last couple of days. The popular crypto has fallen by 14.2% in the weekly charts and by 1.1% in the last 24 hours. ADA’s current predicament may be attributed to the U.S. SEC’s recent crackdown on crypto giants, Binance and Coinbase.
Moreover, the SEC named Cardano (ADA) as an unregistered security in its lawsuit against Cooinbase on June 6. Other tokens named in the same light are SOL, MATIC, FIL, ATOM, SAND, MANA, ALGO, AXS, and COTI. This has raised questions if platforms will begin to delist these tokens in order to avoid regulatory scrutiny.
Cardano to continue falling?
According to machine learning algorithms by PricePredictions, ADA will continue to fall throughout this month. The platform forecasts that ADA will reach a price of $0.307247 on June 30.
ADA is currently facing resistance at $0.3824, and support at $0.2984. The asset is trading levels last seen in mid-March.
Nonetheless, there is one metric that ADA fans and users can celebrate. According to DefiLlama, Cardano’s (ADA) TVL (total value locked) has exceeded 500 million tokens. The achievement is evidence of the robust decentralized finance (DeFi) ecosystem on the ADA network.
Moreover, ADA has often topped charts in terms of development activity. This is a solid metric to know about the potential of a crypto project. More development activity means there are more possibilities for what the project could create. However, Cardano has often had delayed launches which have led to community disappointments.
The recent plummet is another thorn in the popular network. However, until the regulatory uncertainty reaches some conclusion, the asset might continue to suffer. The coin is already down by a whopping 89.70% from its all-time high of $3.09, attained in September 2021. At press time, ADA was trading at $0.3170, down by 0.1% in the last hour.