Cardano Price Technical Analysis – ADA/USD to Decline Further

Key Highlights

• ADA price remained in a bearish zone and it recently broke the $0.2840 support against the US Dollar (tethered).
• There is a major bearish trend line forming with resistance at $0.2780 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
• The pair may correct a few points in the short term, but it remains sell on rallies around $0.2800.

Cardano price is placed in the bearish zone against the US Dollar and Bitcoin. ADA/USD is likely to decline further with supports on the downside at $0.2710 and $0.2600.

Cardano Price Downtrend

There was no respite for buyers as there was no upside move above $0.3000 in ADA price against the US Dollar. The price remained in a bearish zone and settled below the $0.3000 level. It recently faced an increased selling pressure and broke a crucial support at $0.2840. It opened the doors for more losses and the price moved below $0.2800 and also settled below the 100 hourly simple moving average.

The recent low formed was $0.2710 from where the price started a minor upside correction. An initial resistance on the upside is around the 23.6% Fib retracement level of the last drop from the $0.2990 high to $0.2710 low. There is also a major bearish trend line forming with resistance at $0.2780 on the hourly chart of the ADA/USD pair. However, the most important resistance is around the $0.2840 level. It coincides with the 50% Fib retracement level of the last drop from the $0.2990 high to $0.2710 low.

Therefore, if the price corrects higher from the current levels, it may face sellers near $0.2840. On the downside, a break below the recent low of $0.2710 may push the price towards the $0.2600 level.

Hourly MACD – The MACD for ADA/USD is placed well into the bearish zone.

Hourly RSI – The RSI for ADA/USD is currently around the 40 level.

Major Support Level – $0.2600

Major Resistance Level – $0.2840

Charts courtesy – Trading View

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