Cardano Price Analysis: ADA/USD Approaching Resistance

Key Highlights

  • ADA price declined towards the $0.1220 level before starting an upside correction against the US Dollar (tethered).
  • There is a crucial bearish trend line formed with resistance at $0.1340 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
  • The pair is recovering and it seems like it is approaching towards the $0.1320 and $0.1340 resistances.

Cardano price is slowly recovering against the US Dollar and Bitcoin. ADA/USD must break the $0.1340 resistance to recover further in the near term.

Cardano Price Analysis

After a break below the $0.1340 support, cardano price declined further against the US Dollar. The ADA/USD pair broke the $0.1250 support and traded close to the $0.1220 level. A low was formed at $0.1220 before the price started an upside correction. It gained momentum and moved above the 23.6% Fib retracement level of the last drop from the $0.1449 high to $0.1220 low.

However, there are many barriers waiting on the upside near $0.1340 to prevent gains. An initial resistance is near the $0.1320 level. Above this, the most important resistance is near $0.1340 and the 100 hourly simple moving average. There is also a crucial bearish trend line formed with resistance at $0.1340 on the hourly chart of the ADA/USD pair. More importantly, the 50% Fib retracement level of the last drop from the $0.1449 high to $0.1220 low is positioned near the $0.1335 to stop the current upside move. Therefore, it seems like a break above the $0.1340 level won’t be easy.

Cardano Price Analysis ADA USD

The chart indicates that the price may continue to move higher towards $0.1340. However, a break above $0.1340 depends on how bitcoin and Ethereum trade in the near term. On the downside, supports are seen near the $0.1240 and $0.1220 levels.

Hourly MACD – The MACD for ADA/USD is now placed nicely in the bullish zone.

Hourly RSI – The RSI for ADA/USD is currently moving higher and is placed well above the 50 level.

Major Support Level – $0.1240

Major Resistance Level – $0.1340

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by Aayush Jindal on July 13, 2018 at 01:30PM