If the price is unable to maintain its position above the $0.315 support zone, further losses are likely to follow.
As with bitcoin, the price of Cardano is struggling to rise beyond $0.40 when measured against the US Dollar. If the ADA price breaks below the $0.315 support level, bearish momentum may begin to build.
Analysis on the Price of Cardano
In the last week, the price of cardano was met with a significant amount of resistance close to the zone of $0.380 versus the US Dollar. The ADA/USD pair reached a new high close to $0.388 and then immediately began a new downward trend.
There was a very noticeable movement below the support levels of $0.365 and $0.350. Even lower than that, the price fell below the $0.320 support as well as the 55 simple moving average (4-hour). A bottom was established close to $0.3102, and the price is currently correcting higher from this point.
Above the resistance zone located at $0.320, there was a slight rise in price. On the 4-hour chart, there was a break over a key negative trend line that had resistance above $0.320. This occurred after the line had previously served as support.
On the upside, an immediate barrier can be seen close to the zone around $0.340. It is currently located close to the 23.6% Fib retracement level of the decline that began from the swing high of $0.438 and ended at the low of $0.3102. Above this level, there is a chance that the price will begin to rebound. The first significant barrier is located close to the 0.350 level.
The following significant barrier can be seen close to the $0.365 zone or the 55-day simple moving average (4-hour). In the event that the price moves decisively higher and breaks decisively over the $0.365 level, it is possible that it may encounter resistance at the $0.375 level. In the immediate term, further gains might signal the beginning of a sustained ascent toward the level of $0.388 or the 61.8% Fib retracement level of the bearish move from the swing high of $0.438 to the low of $0.3102, whichever comes first.
In the event that prices go lower, there is short-term support located close to the $0.320 level. The price may possibly fall towards the $0.30 support level if it falls below the level of $0.310, which is the next major support level that is close by. Should there be any more losses, the $0.280 level may come under scrutiny.
Cardano (ADA) Price
According to the chart, the current ADA price is trading at a level that is lower than $0.40 and the 55 simple moving average (4-hours). If the price is unable to maintain its position above the $0.315 support zone, it is likely to resume its downward movement.
Indicators of a Technical Nature
4 hour MACD The MACD for ADA/USD has moved farther into the bearish zone and is now losing momentum.
4 hour RSI - The relative strength index (RSI) for ADA/USD is now less than 50.
Both $0.320 and $0.310 are important support levels.
Both $0.350 and $0.388 have been acting as key resistance levels.
