- ADA price corrected lower recently and tested the $0.0738 support area against the US Dollar (tethered).
- There is a major bullish trend line formed with support at $0.0755 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
- The pair is likely to climb higher once again above the $0.0780 resistance in the near term.
Cardano price is holding key supports against the US Dollar and Bitcoin. ADA/USD could break the $0.0780 resistance as long as it is above $0.0735.
Cardano Price Analysis
After trading above $0.0820 level, cardano price started a downside correction against the US Dollar. The ADA/USD pair moved down and broke the $0.0800 support. There was even a break below the $0.0780 support and the 100 hourly simple moving average. However, the price found a decent buying interest around the $0.0735 level and later recovered. It moved above the 23.6% Fibonacci retracement level of the recent decline from the $0.0821 high to $0.0735 low.
The price also moved above $0.0770 and the 100 hourly SMA. However, the upward move was capped by the $0.0780 resistance. Buyers also failed to push the price above the 50% Fibonacci retracement level of the recent decline from the $0.0821 high to $0.0735 low. There is also a connecting bearish trend line with resistance at $0.0772 on the hourly chart of the ADA/USD pair. Therefore, a break and close above the trend line and $0.0780 could push the price towards $0.0800. On the downside, there is a major bullish trend line formed with support at $0.0755 on the same chart.
The chart indicates that ADA price is approaching the next break either above $0.0780 or below $0.0750. The chances of an upside break are high as long as there is no close below $0.0735.
Hourly MACD – The MACD for ADA/USD is slightly placed in the bullish zone.
Hourly RSI – The RSI for ADA/USD is moving lower towards the 50 level.
Major Support Level – $0.0735
Major Resistance Level – $0.0780
Author: Aayush Jindal