Earlier this week, Cardano successfully thwarted a spam attack, with its founder Charles Hoskinson expressing satisfaction with the outcome.
Hoskinson shared an interesting GIF on Twitter in response to a comment describing the event:
“Hackers attempted a DDoS attack on Cardano, but the chain speed slowed down. Nothing else happened. Will the scammers eventually steal ADA?” – Charles Hoskinson (@IOHK_Charles) on June 26, 2024
Nick, the host of the Cheeky Crypto YouTube channel, discussed the impact of the event on Cardano’s native cryptocurrency ADA. Following the attack, Cardano’s trading volume increased by 62% as ADA reached a critical price zone. This surge indicates a growing interest and trust in the network.
However, Nick warned of potential market reactions, noting that ADA had hit a significant support level at $8.80 after a 0.38% drop last week. He mentioned the historical significance of this price since Binance listed the altcoin in 2018.
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Using ADA/daily chart
USDT
Nick analyzed ADA’s price action and predicted possible mid-term developments. He pointed out that ADA faces resistance in its trading pattern, which could lead to a further decline towards the $0.338 region. Nonetheless, he acknowledged its upside potential.
To counter the downtrend, Nick stated that ADA should climb above $0.4406, which would drive the price to break through the 50 EMA and 50 SMA indicators, indicating a trend reversal. However, he remains pessimistic about ADA’s long-term prospects.
Nick’s daily RSI indicator shared shows ADA in the overbought region, suggesting a significant continuation of the bearish momentum.
