Cardano managed to find good support and rallied higher in the past two days, but will bulls manage to hold onto their recent gains?
Key Support levels: $0.33
Key Resistance levels: $0.38
Buyers have stopped the downtrend, and ADA moved higher over the weekend. This puts its price on a collision course with the key resistance at $0.38. However, this bounce on the key support at $0.33 could turn out to be a temporary relief before bears return.
Technical Indicators
Trading Volume: The volume on this most recent increase was decent, which may give hope that the bulls are trying to get back in control. However, the key resistance is right ahead, and it’s important to monitor how the price will perform if it’s reached.
RSI: The daily RSI managed to leave the oversold area and made a higher high. This is promising, and if the positive momentum sustains, then ADA could challenge the current resistance.
MACD: The daily MACD did a bullish cross today. The bulls appear in control right now.
Bias
The bias for ADA is neutral. A clean break of the key resistance would turn the chart bullish.
Short-Term Prediction for ADA Price
This week will be decisive in assessing if this price action was just a bounce or a possible reversal. Cardano needs to put a stop to the downtrend to remain attractive for buyers, and this latest rally could be the trigger for that. A failure to break the $0.38 resistance could turn the sentiment bearish again, which would quickly be reflected in ADA’s price.
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Cryptocurrency charts by TradingView.
