Key Highlights
- ADA price corrected higher recently, but it faced a strong hurdle near $0.2820 against the US Dollar (tethered).
- There is a crucial bearish trend line forming in place with resistance at $0.2750 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
- The pair could decline back towards $0.2400 if it fails to move above the $0.2820 pivot level.
Cardano price is facing many barriers against the US Dollar and Bitcoin. ADA/USD must climb above $0.2820 and the 100 hourly SMA to gain upside momentum.
Cardano Price Resistances
After a major downside move, ADA price found support near the $0.2300 level against the US Dollar. A low was formed at $0.2335 before the price started an upside correction. It recovered and moved above the $0.2500 resistance level. Buyers were also successful in pushing the price above the 38.2% Fib retracement level of the last decline from the $0.3203 high to $0.2335 low.
However, the upside move was capped by a strong resistance near $0.2820. The price also faced sellers near the 100 hourly simple moving average, which is currently at $0.2780. Moreover, the 50% Fib retracement level of the last decline from the $0.3203 high to $0.2335 low prevented upsides. More importantly, there is a crucial bearish trend line forming in place with resistance at $0.2750 on the hourly chart of the ADA/USD pair. The pair was rejected from the $0.2800 zone, 100 hourly SMA, and the trend line.
The chart indicates that the price is under pressure and it may decline back towards the $0.2500 support. Should buyers fail to keep the price above $0.2500, it may perhaps retest the $0.2330 swing low. On the other hand, if they succeed in clearing $0.2820 and 100 hourly SMA, there can be a sharp upside move towards $0.3200.
Hourly MACD – The MACD for ADA/USD is now back in the bearish zone.
Hourly RSI – The RSI for ADA/USD has moved below the 50 level.
Major Support Level – $0.2500
Major Resistance Level – $0.2820
