Cardano price falls below multi-month support despite ADA’s NFT milestone

• The Cardano price does not reflect the growth in Cardano-based NFT collections that surpassed the six million mark in just 17 months.
• However, the NFT market overall continues to lose money, with volumes barely expected to pass $500 million in November.
• Cardano’s price fell 10% in 48 hours, nearing a nearly two-year low.

The Cardano price does not seem to reflect the progress the altcoin has made in the Non-Fungible To.ken (NFT) space. Although still not significant, Cardano-based NFT volume continues to grow gradually. This is an achievement in itself, given the current state of the NFT market in general, where every chain and pool is suffering.

Cardano NFTs touch new heights

Cardano-based NFTs came to life back in July 2021, and since then the blockchain has seen several ups and downs. Along with the chain, NFT volumes also fluctuated, peaking last month at $4.2 million in a single day.

Following the same this month, the total number of NFTs minted on the chain crossed the 6 million mark, reaching 6.4 million.

However, the volume of NFTs traded this week has been some of the lowest in 2022. This is in line with the rest of the NFT market as well, where selling has been a major concern. The month of October was already quite disappointing, collecting only $491.2 million in NFT sales.

Slightly less than September’s 526.7 million dollars, the falling sales have made it difficult for the volume to cross 500 million dollars. Still, total sales in November are expected to exceed $500 million.

Cardano NFT sale

Whether that happens or not will depend on which direction the market is moving in. At least as far as the crypto market is concerned, the recovery seems a little difficult.

Cardano price bends again

The altcoin registered a decline of 10.07% in the last two days as prices reached $0.384. The last major rally noted by the ADA was in mid-October for nine days when the price rose by 23.53%. At the time, Cardano came close to closing above the six-month support at $0.409, but failed to do so.

Oscillating around the same level, the ADA is expected to decline further before testing the line as resistance again. The current critical support is at $0.33, which is where Cardano could be if broader market signals do not improve.

ADAUSD 1-Day Chart

However, the Cardano price has room to rise, according to the Relative Strength Index (RSI), as the altcoin is nowhere near being overbought. Therefore, if an increase in buying pressure is observed over the next few days, ADA’s price could shoot up and turn $0.409 into support.