HomeAltcoin NewsCardano (ADA) Price Analysis: Rally To $0.05 Seems Imminent

Cardano (ADA) Price Analysis: Rally To $0.05 Seems Imminent

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  • ADA price is trading with a positive bias above the $0.0350 resistance against the US Dollar.
  • The price is gaining traction and it is likely to accelerate above the $0.0385 resistance.
  • There is a major bullish trend line forming with support near $0.0365 on the 4-hours chart (data feed via Kraken).
  • The price could dip a few points, but it is likely to accelerate above the $0.040 resistance area.

Cardano price is trading nicely in an uptrend against the US Dollar, similar to bitcoin. ADA price could rise further towards the key $0.0500 resistance in the near term.

Cardano Price Analysis

In the past few days, cardano price started a decent increase from the $0.0320 support area against the US Dollar. The ADA/USD pair jumped above the key $0.0350 resistance and the 55 simple moving average (4-hours) to move into a positive zone.

Moreover, there was a close above the $0.0355 level and the price recently traded close to the $0.0385 resistance. A high is formed near $0.0385 and the price is currently consolidating.

It traded below the 23.6% Fibonacci retracement level of the recent wave from the $0.0365 low to $0.0385 high. The main support on the downside starts with the $0.0375 level.

Moreover, the 50% Fibonacci retracement level of the recent wave from the $0.0365 low to $0.0385 high is near the $0.0375 level. There is also a major bullish trend line forming with support near $0.0365 on the 4-hours chart.

If there is a downside break below the trend line, the price could correct lower towards the $0.0350 support area. Any further losses may turn cardano price bearish and it could decline towards the $0.0320 support area.

On the upside, an initial resistance is near the $0.0385 level. A clear break above the $0.0385 level could set the pace for more gains above the $0.0400 and $0.0420 resistance levels.

In the mentioned bullish case, the main target for the bulls may perhaps be near the $0.0500 level in the coming days.

Cardano Price
Cardano Price

The chart indicates that ADA price is trading with a positive bias above the $0.0350 and $0.0365 support levels. In the short term, there could be a downside correction, but the $0.0365 level is likely to protect losses. On the upside, a clear break above $0.0400 could set the pace for more gains towards $0.0500.

Technical Indicators

4 hours MACD – The MACD for ADA/USD is slowly gaining pace in the bullish zone.

4 hours RSI – The RSI for ADA/USD is currently well above the 60 level.

Key Support Levels – $0.0365 and $0.0350.

Key Resistance Levels – $0.0385 and $0.0400.

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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