Cardano (ADA) Struggles to Sustain Gains—Is the Uptrend in Trouble?

Cardano price started a fresh rally above the $0.70 zone. ADA is now correcting gains and struggling to start another increase above $0.780.

ADA price started a fresh rally above the $0.70 and $0.720 levels.
The price is trading above $0.720 and the 100-hourly simple moving average.
There is a key bullish trend line forming with support at $0.750 on the hourly chart of the ADA/USD pair (data source from Kraken).
The pair could start another decline if it trades below the $0.7150 support zone.

Cardano Price Climbs Above $0.70

After forming a base above the $0.650 level, Cardano started a fresh rally beating Bitcoin and Ethereum. ADA was able to clear the $0.70 and $0.720 resistance levels.

It even surged above the $0.80 level. A high was formed at $0.8204 and the price is now correcting gains. There was a move below the $0.80 level. The price dipped below the 23.6% Fib retracement level of the upward move from the $0.6512 swing low to the $0.8204 high.

However, the bulls are now active near the $0.7550 zone. There is also a key bullish trend line forming with support at $0.750 on the hourly chart of the ADA/USD pair.

Cardano price is now trading above $0.7550 and the 100-hourly simple moving average. On the upside, the price might face resistance near the $0.780 zone. The first resistance is near $0.800. The next key resistance might be $0.820.

If there is a close above the $0.820 resistance, the price could start a strong rally. In the stated case, the price could rise toward the $0.9150 region. Any more gains might call for a move toward $1.00 in the near term.

Another Decline in ADA?

If Cardano’s price fails to climb above the $0.80 resistance level, it could start another decline. Immediate support on the downside is near the $0.750 level and the trend line.

The next major support is near the $0.7150 level or the 61.8% Fib retracement level of the upward move from the $0.6512 swing low to the $0.8204 high. A downside break below the $0.7150 level could open the doors for a test of $0.650. The next major support is near the $0.6250 level where the bulls might emerge.

Technical Indicators

Hourly MACD – The MACD for ADA/USD is losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is now below the 50 level.

Major Support Levels – $0.7500 and $0.7150.

Major Resistance Levels – $0.8000 and $0.8200.

Aayush Jindal, a luminary in the world of financial markets, whose expertise spans over 15 illustrious years in the realms of Forex and cryptocurrency trading. Renowned for his unparalleled proficiency in providing technical analysis, Aayush is a trusted advisor and senior market expert to investors worldwide, guiding them through the intricate landscapes of modern finance with his keen insights and astute chart analysis.

From a young age, Aayush exhibited a natural aptitude for deciphering complex systems and unraveling patterns. Fueled by an insatiable curiosity for understanding market dynamics, he embarked on a journey that would lead him to become one of the foremost authorities in the fields of Forex and crypto trading. With a meticulous eye for detail and an unwavering commitment to excellence, Aayush honed his craft over the years, mastering the art of technical analysis and chart interpretation.
As a software engineer, Aayush harnesses the power of technology to optimize trading strategies and develop innovative solutions for navigating the volatile waters of financial markets. His background in software engineering has equipped him with a unique skill set, enabling him to leverage cutting-edge tools and algorithms to gain a competitive edge in an ever-evolving landscape.

In addition to his roles in finance and technology, Aayush serves as the director of a prestigious IT company, where he spearheads initiatives aimed at driving digital innovation and transformation. Under his visionary leadership, the company has flourished, cementing its position as a leader in the tech industry and paving the way for groundbreaking advancements in software development and IT solutions.

Despite his demanding professional commitments, Aayush is a firm believer in the importance of work-life balance. An avid traveler and adventurer, he finds solace in exploring new destinations, immersing himself in different cultures, and forging lasting memories along the way. Whether he's trekking through the Himalayas, diving in the azure waters of the Maldives, or experiencing the vibrant energy of bustling metropolises, Aayush embraces every opportunity to broaden his horizons and create unforgettable experiences.

Aayush's journey to success is marked by a relentless pursuit of excellence and a steadfast commitment to continuous learning and growth. His academic achievements are a testament to his dedication and passion for excellence, having completed his software engineering with honors and excelling in every department.

At his core, Aayush is driven by a profound passion for analyzing markets and uncovering profitable opportunities amidst volatility. Whether he's poring over price charts, identifying key support and resistance levels, or providing insightful analysis to his clients and followers, Aayush's unwavering dedication to his craft sets him apart as a true industry leader and a beacon of inspiration to aspiring traders around the globe.

In a world where uncertainty reigns supreme, Aayush Jindal stands as a guiding light, illuminating the path to financial success with his unparalleled expertise, unwavering integrity, and boundless enthusiasm for the markets.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.