Cardano bulls hold off bears around $1.20: what’s next for ADA?
ADA declined to $1.16 before bulls pushed prices back up to $1.20
Cardano (ADA) is looking for a bullish breakout after a downward move saw bears sink prices by 6.4% on Wednesday. The decline dragged prices from highs of $1.28 to lows of $1.16 before an attempted recovery met stern resistance.
At the time of writing, ADA is trading around $1.21, green on the day but still more than 3% down from its 24-hour high.
A glance at the hourly trading chart shows that Cardano has struggled to break a critical resistance level around $1.21.
Technical indicators, however, favour the bulls, who could exploit this advantage to register fresh gains. The hourly RSI is beginning to turn upwards above 50, while the hourly MACD is strengthening after a bullish crossover.
If prices manage to rally above the 100-hour simple moving average ($1.208) and beyond the immediate resistance line at $1.22, an extended uptrend could follow. The Fibonacci resistance level at around $1.22 would provide the next hurdle.
If ADA were to reclaim the recent high of $1.28, an extended upside would likely bring into focus potential targets at $1.36 and $1.40.
Alternatively, a downtrend could set in if the bears reassert their dominance. This would likely be the case if prices break below the Fib level at $1.19 to the intraday low of $1.16.
Further selling pressure could lead to a decline below $1.10, in which case bears would target the psychological support zone of $1.00.
Below the dollar mark, Cardano has previously found sturdy support at $0.80 and $0.70.
No SPAM ever!
Alt coin news
Keep updated with our round the clock and in-depth cryptocurrency news.
No SPAM ever!
Risk Warning: Investing in digital currencies, stocks, shares and other securities, commodities, currencies and other derivative investment products (e.g. contracts for difference (“CFDs”) is speculative and carries a high level of risk. Each investment is unique and involves unique risks.
CFDs and other derivatives are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how an investment works and whether you can afford to take the high risk of losing your money.
Cryptocurrencies can fluctuate widely in prices and are, therefore, not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. Past performance does not guarantee future results. Any trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. Your capital is at risk.
When trading in stocks your capital is at risk.
Past performance is not an indication of future results. Trading history presented is less than 5 years old unless otherwise stated and may not suffice as a basis for investment decisions. Prices may go down as well as up, prices can fluctuate widely, you may be exposed to currency exchange rate fluctuations and you may lose all of or more than the amount you invest. Investing is not suitable for everyone; ensure that you have fully understood the risks and legalities involved. If you are unsure, seek independent financial, legal, tax and/or accounting advice. This website does not provide investment, financial, legal, tax or accounting advice. Some links are affiliate links. For more information please read our full risk warning and disclaimer.