Key Highlights
- ADA price started a fresh downside move and declined below the $0.3500 support against the US Dollar (tethered).
- There was a break below a key bullish trend line with support at $0.3600 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
- The pair is currently testing a major support at $0.3200, but it remains at a risk of more losses.
Cardano price is struggling to remain in a positive zone against the US Dollar and Bitcoin. ADA/USD may extend the current decline below the $0.3200 support in the near term.
Cardano Price Decline
After a decent upside ride above the $0.3700 level, ADA price faced resistance near $0.3750-0.3800 against the US Dollar. The price started a downside move and declined below the $0.3600 support and the 100 hourly simple moving average. The decline was such that the price even broke the 50% Fib retracement level of the last wave from the $0.3000 swing low to $0.3900 high.
Additionally, there was a break below a key bullish trend line with support at $0.3600 on the hourly chart of the ADA/USD pair. At the moment, the pair is trading near a major support at $0.3200. It may correct a few points towards the 23.6% Fib retracement level of the last decline from the $0.3748 high to $0.3205 low. However, the price is likely to face resistance near $0.3500 and $0.3600. Moreover, the 50% Fib retracement level of the last decline from the $0.3748 high to $0.3205 low could prevent upsides near $0.3470.
The chart indicates that the price is at a risk of a downside break below the $0.3200 support. If sellers push the price below the $0.3200 support, it could decline further towards the $0.3000 area in the near term.
Hourly MACD – The MACD for ADA/USD is placed heavily in the bearish zone.
Hourly RSI – The RSI for ADA/USD is currently in the oversold zone.
Major Support Level – $0.3200
Major Resistance Level – $0.3500