- ADA price is struggling to clear the $0.1600 and $0.1740 resistance levels against the US Dollar.
- The price is now trading below the $0.1600 pivot level and the 55 simple moving average (4-hours).
- There is a key bearish trend line forming with resistance near $0.1580 on the 4-hours chart (data feed via Kraken).
- The price could decline sharply below $0.1450 as long as it is below $0.1600.
Cardano price is showing a few bearish signs below $0.1600 against the US Dollar, unlike bitcoin. ADA price must stay above $0.1450 to avoid a breakdown in the near term.
Cardano Price Analysis
Cardano price started a downside correction after it failed to surpass the $0.1740 resistance against the US Dollar. The ADA/USD pair traded below the $0.1700 and $0.1650 levels to move into a short-term bearish zone.
The price broke the $0.1600 support level and settled below the 55 simple moving average (4-hours). ADA declined below the 23.6% Fib retracement level of the upward move from the $0.1230 swing low to $0.1740 swing high.
It even spiked below the $0.1500 support, but the bulls remained active near $0.1450. The 50% Fib retracement level of the upward move from the $0.1230 swing low to $0.1740 swing high is also acting as a decent support.
On the upside, the price is facing a strong resistance near the $0.1600 level. There is also a key bearish trend line forming with resistance near $0.1580 on the 4-hours chart. If there is an upside break above the trend line and $0.1600, the price could rise steadily towards the $0.1700 resistance.
The next major resistance sits near the $0.1740 level, above which ADA could start a strong rally. Conversely, the price could continue to move down below $0.1500. The first key support is near the $0.1450 level.
If there is a downside break below the $0.1450 support, there could be a sharp decline. The next major support for the bulls may possibly be near the $0.1240 level.
The chart indicates that ADA price is showing a few bearish signs below $0.1600 and the 55 SMA. Overall, the price could decline sharply below $0.1450 as long as it is below $0.1600.
Technical Indicators
4 hours MACD – The MACD for ADA/USD is slowly losing momentum in the bullish zone.
4 hours RSI – The RSI for ADA/USD is currently rising and it is approaching the 50 level.
Key Support Levels – $0.1500 and $0.1450.
Key Resistance Levels – $0.1600 and $0.1700.
