Key Highlights
- ADA price declined recently and broke the $0.3050 and $0.3000 support levels against the US Dollar (tethered).
- There is a monster declining channel forming with resistance at $0.3020 on the hourly chart of the ADA/USD pair (data feed via Bittrex).
- The pair remains in a downtrend and any upside move is likely to be capped by $0.3020 and $0.3050.
Cardano price is struggling to recover against the US Dollar and Bitcoin. ADA/USD is likely to remain in a bearish zone as long as it is below $0.3050.
Cardano Price Upside Hurdle
There was a sharp increase in the bearish pressure on ADA price around $0.3250 against the US Dollar. The price started a downside move and declined below the $0.3100 and $0.3000 support levels. It traded close to the $0.2800 level, and is currently well below $0.3000 and the 100 hourly simple moving average. The current price action is bearish, but there can be a minor upside correction from the recent $0.2823 low.
An initial resistance is near the 23.6% Fib retracement level of the last drop from the $0.3236 high to $0.2823 low at $0.2920. Above this, there are many barriers on the upside near $0.3000. There is also a monster declining channel forming with resistance at $0.3020 on the hourly chart of the ADA/USD pair. The stated $0.3020 level was a support earlier and it may now prevent upsides in the near term. Furthermore, the 50% Fib retracement level of the last drop from the $0.3236 high to $0.2823 low is at $0.3029.
The chart indicates that the price may correct a few points towards $0.3000. However, it won’t be easy for buyers to push the price above the $0.3020 and $0.3050 resistance levels. On the downside, the price will most likely find support near $0.2800, followed by $0.2650.
Hourly MACD – The MACD for ADA/USD is slowly moving back in the bullish zone.
Hourly RSI – The RSI for ADA/USD is moving higher from the oversold levels.
Major Support Level – $0.2800
Major Resistance Level – $0.3050