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.
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.