- ADA price is trading in a positive zone above the $0.0500 pivot level against the US Dollar.
- The price is likely to continue higher towards the $0.0580 and $0.0600 resistance levels.
- There is a key contracting triangle forming with resistance near $0.0550 on the 4-hours chart (data feed via Kraken).
- The price remains well supported on dips above the $0.0500 and $0.0480 support levels.
Cardano price is trading with a bullish angle against the US Dollar and bitcoin. ADA price could surge if it clears the main $0.0580 resistance zone in the near term.
Cardano Price Analysis
This past week, cardano price made another attempt to clear the $0.0580 resistance against the US Dollar. The ADA/USD pair failed to continue higher above $0.0580 and $0.0600.
A high was formed near $0.0574 and the price recently corrected lower. There was a break below the $0.0550 pivot level and the 55 simple moving average (4-hours). The price even broke the 23.6% Fibonacci retracement level of the upward move from the $0.0427 low to $0.0574 high.
However, the decline was protected by the $0.0500 support zone. It seems like the 50% Fibonacci retracement level of the upward move from the $0.0427 low to $0.0574 high acted as a strong support.
The price is currently rising and trading above the $0.0520 level. There is also a key contracting triangle forming with resistance near $0.0550 on the 4-hours chart.
It seems like cardano price is likely to break the triangle resistance and $0.0560. The first major resistance is near the $0.0575 and $0.0580 levels. The main hurdle is still near the $0.0600 level, above which the price is likely to accelerate higher in the near term.
The next major resistances are near $0.0620 and $0.0650. Conversely, the price could correct lower below the $0.0520 level. The first major support is near the $0.0500 level. If the price fails to stay above the $0.0500 support, there is a risk of a larger decline towards the $0.0450 and $0.0440 levels.
The chart indicates that ADA price is trading in a positive zone above the $0.0520 and $0.0500 levels. Having said that, the price must break the $0.0580 and $0.0600 resistance levels to accelerate higher. If not, there is a risk of a bearish reaction towards the $0.0500 level.
Technical Indicators
4 hours MACD – The MACD for ADA/USD is currently gaining momentum in the bullish zone.
4 hours RSI – The RSI for ADA/USD is now well above the 50 level.
Key Support Levels – $0.0520 and $0.0500.
Key Resistance Levels – $0.0580 and $0.0600.
