- Cardano price expected to rise to $1.50
- ADA faces resistances in crossing above the $1.20 mark
- The closest support level lies at $1.10 and further below at $1.00
Cardano price action was breaking down until the ADA found support at the $1.00 mark. The price level enabled ADA to find strong bullish support, and the price spiked above the $1.10 mark breaking above the $1.20 price level within a matter of hours.
After spending the last two weeks in a descending channel, Cardano price has finally broken through the channel as ADA looks to start a new bull rally. The key support level lies at the $1.00 mark, with resistances found at the $1.20 mark and further above at $1.30.
The broader cryptocurrency market, unlike ADA, shows a bearish sentiment as most major cryptocurrencies, including Bitcoin and Ethereum, record losses across the last day. Bitcoin records a drop of 1.31 percent while Ethereum exhibits a 0.34 percent decline across the last 24 hours.
Technical indicators for ADA/USDT
Across the technical indicators, the MACD has exhibited a bullish reversal, as shown by the switch of colors in the histogram. Currently, the indicator is showing an increasing bullish momentum as represented in the enlarging green histogram. Across the moving averages, the 12-EMA has crossed above the 26-EMA but shows a low slope as the average moves above.
The RSI was moving upwards until the price action met resistance at the $1.10 level. The retracement from the level caused the indicator to sharply fall to the 50.00 mark with potential for movement below the mean line.
The Bollinger Bands are currently narrow and show further convergence as the price oscillates around the indicator’s mean line. The indicator suggests that a breakout is imminent as the indicator is in a squeeze. Traders should expect sharp movement in the next few candles.
Overall, the 4-hour technical analysis issues a sell signal that has been losing strength with recent candlesticks. Currently, the analysis shows nine indicators in favor of a bearish retracement against seven indicators suggesting an upwards movement for the Cardano price. Meanwhile, ten indicators remain neutral, showing no support for either side of the market momentum.
The 24-hour technical analysis does not support this sentiment and instead shows a neutral market sentiment across the daily frames. The analysis shows an even split (9-9) between the indicators suggesting a bullish trend and those suggesting further retracement from the level. Similar to the 4-hour analysis, the analysis shows a large percentage of indicators sitting on the fence.
What to expect from Cardano price?
Traders should expect Cardano price to break upwards as the short-term indicators point towards a bullish rally. Furthermore, the 4-hour and the 24-hour technical analyses show a split suggesting a trend breakdown. As the bears lose control of the momentum, the bulls should be expected to snatch the reins initiating a bull rally towards the $1.50 mark.
Conversely, if Cardano price fails in breaking above the $1.10 mark, ADA can be expected to retrace to the $1.00 mark.