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HomeAltcoin NewsCardano (ADA) Price Analysis: Bulls Protecting Key Support

Cardano (ADA) Price Analysis: Bulls Protecting Key Support

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  • ADA price extended its decline below the $0.50 support zone against the US Dollar.
  • The price is now trading below $0.50 and the 55 simple moving average (4-hours).
  • There was a break below a major bullish trend line with support near $0.580 on the 4-hours chart (data feed via Bitfinex).
  • The price could start a recovery wave if it stays above the $0.435 support zone.

Cardano price is struggling below $0.55 against the US Dollar, similar to bitcoin. ADA price could gain bullish momentum if it clears $0.50 and $0.52.

Cardano Price Analysis

This week, cardano price saw a major decline from the $0.68 resistance zone against the US Dollar. The ADA/USD pair gained pace below the $0.60 level to move into a bearish zone.

The price settled below $0.55 and the 55 simple moving average (4-hours). Besides, there was a break below a major bullish trend line with support near $0.580 on the 4-hours chart. The price even traded below the $0.500 support zone.

A low is formed near $0.437 and the price is now consolidating losses. On the upside, an immediate resistance is near the $0.50 zone. It is near the 23.6% Fib retracement level of the downward move from the $0.669 swing high to $0.437 low.

The next major resistance is near the $0.550 level. It is close to the 50% Fib retracement level of the downward move from the $0.669 swing high to $0.437 low. A clear upside break above the $0.55 level might send the price towards the $0.60 resistance.

Any more gains could start a steady increase towards the $0.70 level in the near term. On the downside, an immediate support is near the $0.450 level.

The next major support is near the $0.435 level. If there are additional losses, the price may perhaps decline towards the $0.40 support level. A break below $0.40 could push the price towards the $0.38 level.

Cardano (ADA) Price
Cardano (ADA) Price

The chart indicates that ADA price is now trading below $0.50 and the 55 simple moving average (4-hours). Overall, the price could start a recovery wave if it stays above the $0.435 support zone.

Technical Indicators

4 hours MACD – The MACD for ADA/USD is now losing pace in the bearish zone.

4 hours RSI – The RSI for ADA/USD is now below the 50 level.

Key Support Levels – $0.435 and $0.400.

Key Resistance Levels – $0.500 and $0.550.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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