Cardano bulls reversing the downward trendline towards $1.70

TL;DR Breakdown

• Cardano closed yesterday’s daily chart at a low of $1.55
• The coin started at uptrend which seems to be heading for the 50% FIB extension level at $1.71. 

Cardano Price Prediction: General Price Overview

Cardano closed yesterday’s daily chart at a low of $1.55 before starting strong on today’s intraday chart. The coin underwent an uptrend from $1.55 all the way to an intraday high of $1.63. Selling pressure is still firm on the weekly chart, but the bulls are attempting to remain strong and regain control of the market. If the market is able to create a bullish reversal, chances are high of breaking above the $1.90 and $2.0 resistance levels.  ADA plunged downwards alongside other cryptocurrency markets on May 19th. However, the coin has managed to sustain its market capitalization among the top 10 cryptocurrencies. 

During press time, the Cardano (ADA) is trading at $1.63 after gaining more than 5.47% in yields on the 24-hour chart. This price level indicates an uptrend on its way to the 20-day exponential moving average and suggests that the coin could create support at $1.65. Another bullish sentiment on Cardano’s weekly chart is huge investment inflows surpassing those of BTC. Rather it seems investors are in favor of Proof of stake than proof of work blockchains. Hence, emerging decentralized platforms like Cardano, Solana, Polkadot, and Polygon are winning when it comes to adoption. 

Cardano price movement in the last 24-hours

Cardano started today at an uptrend which seems to be heading for the 50% FIB extension level at $1.71. The coin has already created support at the 38.2 retracements, and the price just crossed the 18-day moving average.

(Source: Tradeview)

If the bulls could sustain the price action of ADA above the 20-day EMA, it might rally upwards to $1.94 and target the next support at the all-time high of $2.34. A break below this point could, however lead to a downswing below the psychological resistance at $1, which might end up pulling the price further downwards to the $0.95 danger zone.

Cardano 4-hour chart

(Source: Tradeview)

A descending channel is forming on the 4-hour chart with resistance at $1.64. A break below the $1.60 might open doors for a bearish trendline to the 100-day simple moving average. 

Cardano price prediction: Conclusion

The overall market is still trading within strong bearish momentum. Selling pressure is high and market capitalization is crashing. However, we hope Cardano’s yet to be introduced on-chain solutions for scaling and smart contracts will improve adoption and further boost ADA’s price.