Cardano price started a strong rally after it broke the $0.0685 resistance area. ADA is likely to accelerate above the $0.0800 and $0.0820 resistance, considering the current bitcoin price strength.
- Cardano price started a solid upward move from the $0.0600 support area.
- There was a break above a major bearish trend line with resistance near $0.0695 on the 4-hours chart.
- ADA price tested the $0.0800-0.0810 resistance area and it is currently consolidating gains.
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Cardano Price Analysis (ADA to USD)
This week, there were further upsides in bitcoin and ethereum, helping other altcoins such as cardano to start a decent upward move. ADA price climbed above the key $0.0662 and $0.0680 resistance levels to move into a bullish zone.
Click to Enlarge Chart
Looking at the 4-hours chart of ADA/USD, the pair settled above the $0.0680 resistance level and the 25 simple moving average (4-hours). It opened the doors for more gains above the $0.0700 and $0.0720 levels.
Moreover, there was a break above a major bearish trend line with resistance near $0.0695 on the same chart. The price rallied sharply above $0.0750 and even spiked above $0.0800.
A swing high was formed near $0.0810 and the price recently corrected lower. However, the broken resistance at $0.0700 acted as a support and the price bounced back to $0.0813. At the outset, it seems like the price is facing a strong resistance near the $0.0800 and $0.0820 levels.
An initial support is the 23.6% Fib retracement level of the upward move from the $0.0681 swing low to $0.0813 high. The main support is near the $0.0747 level since it represents the 50% Fib retracement level of the upward move from the $0.0681 swing low to $0.0813 high.
Therefore, dips from the current levels are likely to find support near $0.0750 or $0.0720. Only a close below $0.0700 and the 25 simple moving average (4-hours) could push the price back in a bearish zone.
On the upside, cardano price is likely to clear the $0.0800 and $0.0820 resistance levels if bitcoin keeps rising. The next important resistance is near $0.0860 and $0.0880.
The market data is provided by TradingView, Binance.