Cardano Tests Key Support Level, Bullish Surge Predicted Amid Bearish Struggles


Over the most recent trading moments, Cardano’s cryptocurrency, ADA, has pared back some of its gains, bringing it down to test a key support level at $0.4520. To engage in another round of bullish surge, ADA will need to hold fast at the $0.450 baseline.

However, ADA is facing its share of turmoil as it struggles to reclaim its bullish momentum and breach the $0.4750 zone. Currently, ADA’s trading price is ebbing below $0.460, even slipping under the radar of the 100-hourly simple moving average.

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In the face of these tribulations, an optimistic sign presented itself. The ADA/USD pair managed to break free from a downward bearish trend line that had mapped its course, with resistance at $0.4570. A glimmer of hope now lies in the possibility of the pair gaining momentum if it can cement its close above the $0.4620 mark.

Meanwhile, Cardano’s fortune took a hit in the recent trading sessions, succumbing to a decline after it fell short of clearing the $0.4750 resistance. Similar to the trajectories of Bitcoin and Ethereum, ADA slid below its $0.4620 support to test its mettle at the $0.4520 key support level.

Following this, ADA bottomed out at $0.4516, eliciting a period of loss consolidation. Nevertheless, encouraging signs emerged of a feeble recovery wave cresting above the $0.4550 zone. This slight rebound was further bolstered by the break above its bearish trendline, with resistance refusing to go beyond $0.4570. The pair navigated their way up to the 23.6% Fibonacci retracement level, after declining from a high of $0.4743 to a low of $0.4516.

Cardano currently trades below $0.4620 and the 100-hourly simple moving average. The immediate resistance in sight is stationed in the vicinity of the $0.4960 zone with a resistance closer at $0.4620 or the 50% Fibonacci retracement level following ADA’s recent downward spiral.

Looking ahead, the next probable line of resistance might occur at the $0.4750 mark. If a closing above this resistance is realized, ADA could commence a vigorous rally, potentially propelling it toward the halcyon $0.50 region. Any additional gains might trigger a surge aiming for the $0.5250 mark.

If, however, ADA stumbles in its climb to that $0.4620 resistance point, it could be set for a gloomier trajectory. The immediate downside harbors support near $0.4520. A significant downtrend could then bring the ADA down to the $0.4460 vicinity. A breach below this significant support level might spur a downfall, setting the stage for a $0.4320 level test. Experts predict that ADA might find its next significant support at approximately the $0.420 mark.

Peering into the technical realm, ADA/USD’s MACD (Moving Average Convergence Divergence) appears to be receding in its bearish momentum. Furthermore, the ADA/USD’s RSI (Relative Strength Index) sits below the 50 mark, signaling a weaker bullish force. Major support stands at levels $0.4520, $0.4460 and $0.4320 while major resistance clings around the $0.4620 and $0.4750 marks.