**Cardano’s 60% Surge Crashes 20%: Is Trump-Inspired Rally Over?**

**Cardano Plummets 20%: Is the Rally Over?**

Cardano (ADA) experienced a dramatic 60% price surge over the weekend, briefly climbing above $1 on Sunday. This rally followed former U.S. President Donald Trump’s announcement of a proposed digital asset reserve strategy, which included ADA among five cryptocurrencies like Bitcoin and Ethereum. However, the excitement proved short-lived, as ADA plummeted 20% within 24 hours, dropping below $1 to trade at $0.82 at press time.

**Technical Indicators Signal Weak Demand**
Key technical indicators on ADA’s daily chart suggest weakening buyer interest. The Relative Strength Index (RSI), a momentum gauge that identifies overbought or oversold conditions, is trending downward toward the 50-neutral line. A drop below this level typically signals increasing selling pressure, hinting that traders may be taking profits rather than accumulating more coins ?.

Additionally, ADA’s price is teetering near its 20-day Exponential Moving Average (EMA), a critical short-term momentum indicator. A confirmed break below this level could indicate a bearish trend reversal, further exacerbating selling pressure. At press time, ADA’s price hovered just above the $0.72 support level. If this zone fails, the next target could be $0.60.

**Can Buyers Reverse the Trend?**
Despite the bearish signals, a resurgence in demand could invalidate the downturn. If profit-taking subsides and new buyers enter the market, ADA might reclaim $0.94. Breaking this resistance could pave the way for a retest of its three-month high at $1.32 ?.

The market’s reaction to Trump’s proposed crypto reserve remains uncertain. While initial speculation fueled ADA’s rally, sustaining momentum requires broader investor confidence. For now, traders are closely watching key technical levels to gauge whether the recent drop is a temporary correction or the start of a deeper decline.

As always, volatility remains a hallmark of crypto markets. Whether ADA recovers or continues its slide hinges on evolving market sentiment and macroeconomic factors. Stay tuned! ?