- ADA price is correcting gains from the $0.422 zone against the US Dollar.
- The price is now trading above $0.395 and the 55 simple moving average (4-hours).
- There is a major contracting triangle forming with support near $0.395 on the 4-hours chart (data feed via Bitfinex).
- The price could gain resume its increase if it stays above the $0.395 and $0.384 support levels.
Cardano price is correcting lower below $0.412 against the US Dollar, similar to bitcoin. ADA price could extend its decline if it breaks the $0.395 support.
Cardano Price Analysis
This past week, cardano price started a steady increase above the $0.375 resistance zone against the US Dollar. The ADA/USD pair gained pace for a move above the $0.385 and $0.392 levels.
It even broke the $0.400 level and settled well above the 55 simple moving average (4-hours). It traded as high as $0.421 and recently started a downside correction. There was a move below the $0.405 and $0.400 levels. The price even spiked below the 23.6% Fib retracement level of the upward move from the $0.3454 swing low to $0.4213 high.
It is now trading trading above $0.395 and the 55 simple moving average (4-hours). On the upside, an immediate resistance is near the $0.4065 zone. The next major resistance is near the $0.420 zone.
A clear move above the $0.420 resistance might start a strong increase towards $0.45. Any more gains above the $0.45 resistance might send the price towards the $0.485 resistance or even $0.50.
On the downside, an immediate support is near the $0.395 level. There is also a major contracting triangle forming with support near $0.395 on the 4-hours chart. The next major support is near the $0.384 level. It is near the 50% Fib retracement level of the upward move from the $0.3454 swing low to $0.4213 high.
A clear move below the $0.384 level might send the price towards the $0.365 level. Any more losses might send the price towards the $0.345 support.
The chart indicates that ADA price is now trading above $0.395 and the 55 simple moving average (4-hours). Overall, the price could gain resume its increase if it stays above the $0.395 and $0.384 support levels.
Technical Indicators
4 hours MACD – The MACD for ADA/USD is now losing pace in the bullish zone.
4 hours RSI – The RSI for ADA/USD is now above the 50 level.
Key Support Levels – $0.395 and $0.384.
Key Resistance Levels – $0.405 and $0.420.
