Key Takeaways:
– Cardano’s price has experienced a fresh decline below the $1.050 mark.
– ADA is currently consolidating, facing a struggle in commencing a new rise above $1.0250.
– A connecting bearish trend line has been observed indicating resistance at $1.040.
– A new increase may commence should it break through the $1.050 resistance zone.
– Potential subsequent gains might initiate movement toward the $1.1520 region.
Struggle for Cardano (ADA)
Experiencing difficulties in remaining above the $1.150 price level, Cardano (ADA) entered a fresh decline. Unlike its peers Bitcoin and Ethereum, ADA fell beneath the $1.050 and $1.0350 support levels. It even momentarily slipped below the crucial $1.00 mark, leading to a low formation at $0.9615. Currently, it is attempting to recover, having moved upwards past the $0.990 level and clearing 23.6% of the Fibonacci retracement level of the plunge from the $1.088 swing high to the $0.9615 low.
Resistance & Support Levels
Now trading below $1.050 and the 100-hourly simple moving average, Cardano’s price may encounter resistance near the $1.0250 region. This is approximately the 50% Fibonacci retracement level of the plunge from the $1.088 swing high to the $0.9615 low.
The first challenge lies near $1.050 with further resistance at $1.040, as signaled by a connecting bearish trend line on the hourly chart of ADA/USD trading. However, if the price manages to close above the $1.0880 resistance, it could usher in a significant rally. This could potentially see ADA reaching towards the $1.120 region, and any further gains could propel the price closer to the $1.1520 level in the near future.
However, should Cardano’s price fail to surpass the $1.050 resistance level, further decline could be in store. Immediate support lies near the $0.980 mark, with substantial support close to the $0.9650 level. A break below this level could open the potential for a test of $0.9200, with the next hefty support lining up near the $0.880 level where a bullish trend might resurface.
ADA’s Technical Indicators
According to the hourly MACD, the ADA/USD trading pair is slowing its momentum within the bearish zone. Concurrently, the hourly RSI (Relative Strength Index) for the ADA/USD pair lies below the median 50 level. Major support levels have been identified at $0.980 and $0.9650, with major resistance levels at $1.0250 and $1.0500.
In Summary
The Cardano (ADA) price has experienced a recent decline, stoking market uncertainty. The question now arises whether this is a healthy market correction or if ADA has lost its grip on the bulls. Key indicators suggest that the battle is between a possible bullish future of ADA price charting toward $1.1520 or a bearish trend pulling the price downward beneath $0.880. Investors and traders alike should keep a close eye on these support and resistance levels in the near term.