Cardano’s price rose sharply above $ 0.2000, similar to Bitcoin. ADA is showing positive signs and should continue to climb above $ 0.2800 and $ 0.3000.
- ADA saw a sharp rise above the $ 0.2000 and $ 0.2400 resistance levels against the US dollar.
- The price is now trading well above $ 0.2600 and the simple moving average of 100 (4 hours).
- On the 4-hour chart of the ADA / USD pair (data source from Bitfinex) there was a break above a major contraction triangle with resistance near USD 0.2280.
- The pair is likely to continue rising above $ 0.2800 and $ 0.2850 in the upcoming sessions.
Cardano (ADA) is on the rise
In the past few days, cardano’s price has soared after dropping over $ 0.2000. ADA price rebounded significantly, breaking many key hurdles near $ 0.2250 and $ 0.2300.
There was also a break above a major contraction triangle with resistance near $ 0.2280 on the 4-hour chart for the ADA / USD pair. It opened the doors to further gains above the $ 0.2500 level and the price was well above the simple moving average of 100 (4 hours).
The price even traded above the level of USD 0.2650 and reached a new multi-week high of USD 0.2751. It is currently consolidating gains above the $ 0.2500 and $ 0.2600 levels. An initial downward move is near the $ 0.2550 level.
Source: ADAUSD on TradingView.com
It is close to the 23.6% Fib retracement level of the recent move up from the low of $ 0.1929 to the high of $ 0.2751. On the upside, the price is likely to encounter resistance near $ 0.2750.
A close above the recent high could open the doors to further gains above $ 0.2800 and $ 0.2850. The next major resistance to the upside can be seen near the USD 0.3000 level.
If cardano’s price fails to hit the $ 0.2750 and $ 0.2800 resistance levels, it could correct lower. Initial support is near the USD 0.2500 level.
The main support is now forming near the USD 0.2350 level. It is close to the 50% Fib retracement level of the recent bullish move from the low of $ 0.1929 to the high of $ 0.2751. There is also a connecting bullish trendline forming with support near USD 0.2000 on the same chart.
4-Hour MACD – The MACD for ADA / USD is clearly gaining traction in the bullish zone.
4 Hour RSI (Relative Strength Index) – The RSI for ADA / USD is currently in the overbought zone.
Key support levels – $ 0.2550, $ 0.2500, and $ 0.2350.
Main Resistance Levels – $ 0.2750, $ 0.2800, and $ 0.3000.