- ADA price failed to gain momentum above $0.0800 and declined recently against the US Dollar (tethered).
- There is a key bearish trend line formed with resistance at $0.0790 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
- The pair is likely to extend the current decline towards the $0.0735 or $0.0720 levels.
Cardano price moved into a short term bearish zone against the US Dollar and Bitcoin. ADA/USD could drop to $0.0720 before buyers take a stand.
Cardano Price Analysis
There were a couple of rejections noted around the $0.0810 and $0.0800 resistances in cardano price against the US Dollar. The ADA/USD pair failed to settle above $0.0800, resulting in a bearish reaction. The price declined and broke the $0.0790 support level and the 100 hourly simple moving average. It opened the doors for more gains and the price settled below the $0.0800 level.
During the decline, there was a break below a connecting bullish trend line at $0.0792. Moreover, the price broke the 50% Fibonacci retracement level of the last wave from the $0.0701 low to $0.0847 high. The price traded towards the $0.0750 level, which acted as a support. However, the price remains at a risk of more losses below $0.0750. Once there is a break below the 61.8% Fibonacci retracement level of the last wave from the $0.0701 low to $0.0847 high, the price could extend declines. The next major support is at $0.0735, followed by the $0.0720 buy zone. On the upside, there is a key bearish trend line formed with resistance at $0.0790 on the hourly chart of the ADA/USD pair.
The chart indicates that ADA price is likely to decline further in the short term as long as it is below $0.0800. Above $0.0800, the price may climb to $0.0840 or $0.0850.
Hourly MACD – The MACD for ADA/USD is in the bearish zone.
Hourly RSI – The RSI for ADA/USD is currently well below the 45 level.
Major Support Level – $0.0720
Major Resistance Level – $0.0800