The Kadena price has lost momentum in the past few weeks. KDA, its native token, is trading at $11, which is about 62% below its year-to-date high. Its total market cap has crashed to about $1.8 billion and its ranking slipped to 87.
Kadena is a smart contract platform with some of the best credentials in the industry. It has a solid founding team since the two founders worked for JP Morgan.
The developers have already raised millions of dollars from venture capital firms. At the same time, it has better features than some of its key competitors like Ethereum and Solana.
However, these credentials have not ameliorated the current challenges in its industry. For example, its price has dropped sharply because of profit-taking after it rallied sharply in the past few weeks. Also, worries of the rising tightening monetary conditions in the United States has contributed to the sell-off.
Kadena price prediction
The four-hour chart shows that the KDA price has been in a major sell-off in the past few weeks. The coin has formed a descending channel that is shown in black. It is currently along the lower side of this channel and slightly below the 25-day and 50-day moving averages.
While a rebound is likely to happen, there is a likelihood that the sell-off to the 78.6% retracement level at $7.7 will happen. This drop is about 30% below the current level. This view will be invalidated if the price if it moves above $15.
