Key Highlights
- ADA price corrected lower towards the $0.2560 support and then recovered against the US Dollar (tethered).
- There was a break above a short-term contracting triangle with resistance at $0.2750 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
- The pair is currently trading near $0.2900 and the 100 hourly simple moving average with positive signs.
Cardano price is back in a bullish zone against the US Dollar and Bitcoin. ADA/USD has to move above the $0.3000 resistance to gain further in the near term.
Cardano Price Support
After trading as high as $0.3201, ADA price faced sellers against the US Dollar. The price started a downside correction and traded below the $0.3000 and $0.2800 support levels. However, the decline was protected by the $0.2500 support area. A low was formed at $0.2563 before the price started consolidating in a range. Later, a recovery was initiated and the price moved above the 23.6% Fib retracement level of the last decline from the $0.3201 high to $0.2563 low.
More importantly, there was a break above a short-term contracting triangle with resistance at $0.2750 on the hourly chart of the ADA/USD pair. The pair traded further higher and broke the $0.2850 resistance. At the moment, it is trading near the 100 hourly simple moving average and $0.2900. On the upside, there is a major hurdle near $0.3000. However, a proper close above the 61.8% Fib retracement level of the last decline from the $0.3201 high to $0.2563 low is required. Once the breaks $0.2950 and $0.3000, there could be more gains.
The chart indicates that the price is consolidating near $0.2800. It may decline a few points before it makes an attempt to break the $0.3000 resistance. Above the stated $0.3000 resistance, the price could retest $0.3200.
Hourly MACD – The MACD for ADA/USD may move into the bearish zone.
Hourly RSI – The RSI for ADA/USD is about to test the 50 level.
Major Support Level – $0.2800
Major Resistance Level – $0.3000
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