Cardano price held steady today, Dec. 10, as the recently launched NIGHT token rebounded after its initial dive. ADA token jumped to $0.46355, up by 30% from its lowest level this month. So, will the token continue its strong comeback this month?
NIGHT Token Jumps, But ADA Supply is Rising
Cardano price held steady over the past few days as market participants focused on the Midnight mainnet launch on Monday. This launch culminated in the NIGHT token becoming available on exchanges like OKX, Bybit, and MEXC. Binance and LCX have also announced plans to list it.
NIGHT token price initially dived after launch as part of the normal volatility that happens on the first day. It then rebounded by over 86% on Wednesday, bringing its market cap to over $966 million. Its 24-hour volume surged 783% to $146 million, with most of it on OKX and Minswap. The volume will likely continue to rise as more exchanges list it over the next few days.
Cardano price rose as many of its holders who participated in its Glacier airdrop and scavenger mine began redeeming their NIGHT tokens during the first thaw. The next thaw period will start in March, followed by June and September next year.
Meanwhile, the ADA token has jumped amid the ongoing crypto market recovery, as investors await the Federal Reserve’s upcoming decision. In it, officials are expected to cut interest rates by 0.25%, a move that, in theory, should benefit the crypto market.
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More data shows that Cardano’s open interest in the futures market has crawled back in the past few weeks. It jumped to $810 million on Wednesday, its highest level since October. It has been in a slow uptrend after bottoming at $581 million in November.
Still, a key risk for Cardano is that the supply of ADA tokens on exchanges has continued to rise over the past few weeks, a sign that investors are selling their tokens.
ADA Price Technical Analysis
The four-hour chart shows that the ADA price has rebounded in the past few days, moving from a low of $0.3730 in December to the current $0.4630. A closer look shows the token has formed an inverse head-and-shoulders pattern, a common bullish reversal sign.
The 50-period and 100-period Exponential Moving Averages (EMA) are about to cross each other, while the Supertrend indicator has turned from red to green.
Therefore, the most likely scenario is where the coin continues rising as the Midnight launch hype continues. If this happens, the initial target to watch will be the psychological level at $0.500.
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