Cardano price is gaining bullish momentum against the US Dollar and bitcoin. However, ADA price must surpass the $0.0320 barrier for a sustained upward move.
Cardano Price Analysis
This past week, cardano price made another attempt to surpass the $0.0320 resistance against the US Dollar. However, the ADA/USD pair failed to gain momentum and formed a swing high at $0.0315.
Later, there was a downside correction below the $0.0300 support area the 55 simple moving average (4-hours). The price traded as low as $0.0279 and it is currently rising with a positive angle.
There was a break above the $0.0300 resistance and the 55 SMA. Besides, the price climbed above the 50% Fibonacci retracement level of the downward move from the $0.0315 high to $0.0279 low.
More importantly, there was a break above a major contracting triangle with resistance near $0.0301 on the 4-hours chart. The price is now trading near the $0.0305 zone.
It is testing the 76.4% Fibonacci retracement level of the downward move from the $0.0315 high to $0.0279 low. If there is a successful break above $0.0305, the price could even surpass the $0.0315 swing high.
The main resistance for cardano is still near the $0.0320 area. If the bulls gain strength above $0.0320, the price could start a substantial increase. The next key resistance is seen near the $0.0350 and $0.0365 levels.
Conversely, the price could fail to continue above the $0.0315 and $0.0320 resistance levels. On the downside, an initial support is near the $0.0295 level and the 55 simple moving average (4-hours).
If there is a bearish break below the $0.0295 and $0.0288 support levels, the price is likely to continue lower towards the $0.0275 level in the near term.
The chart indicates that ADA price is slowly gaining momentum above the $0.0300 level, but it must surpass the $0.0320 resistance for a sustained upward move.
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 currently well above the 50 level.
Key Support Levels – $0.0295 and $0.0275.
Key Resistance Levels – $0.0315 and $0.0320.
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