Cardano Declines as It Struggles to Hold above $0.50
Aug 10, 2022 at 09:48 //
PriceCardano (ADA) is in a sideways movement, but meets with rejection at the resistance zone of $0.55. Buyers were unable to hold the price above the $0.55 high as there was strong selling pressure at higher price levels.
This was confirmed by the long candles pointing to the resistance zone. Today, the cryptocurrency fell above the moving averages line. The price of ADA is moving above the support of $0.50. Nevertheless, the downtrend will resume if the bears break below the moving averages lines. Cardano will retake the previous low at $0.40. On the other hand, if the price holds above the moving average lines, the price will move back within the trading range. Meanwhile, ADA/USD is trading at $0.51 at the time of writing.
Cardano indicator analysis
ADA is at level 52 of the Relative Strength Index for the 14 period, indicating that ADA is in the up zone despite the setback. The 21-day line SMA and the 50-day line SMA are inclined horizontally, indicating a sideways trend. ADA is above the 50% range of the daily stochastic. This indicates that the market is in the uptrend zone.
Technical Indicators
Key Resistance Zones: $0.60, $0.70, $0.80
Key Support Zones: $0.50, $0.40, $0.30
What is the next move for Cardano?
The Cardano price is in a sideways movement, but is about to reject its recent high. There is a tendency for the cryptocurrency to fall further into the downtrend. Meanwhile, on August 9 downtrend; a retraced candle body tested the 78% Fibonacci retracement level. The retracement suggests that ADA will fall to the Fibonacci extension level of 1.272 or the price level of $0.49.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
OhNoCryptocurrency via https://www.ohnocrypto.com/ @coinidol.com By Coin Idol, @Khareem Sudlow