Cardano Price Analysis: ADA drops to $1.50, recovery to follow?

TL;DR Breakdown

• Cardano price analysis is bullish today.
• ADA/USD broke past $1.60.
• Support was found at $1.50.

Cardano price analysis is bullish today as we expect recovery to follow after a strong spike lower earlier today. Likely ADA/USD will move to retest the $1.60 previous support as resistance over the next 24 hours.

Cryptocurrency heat map. Source: Coin360

The market has seen a strong decline over the last 24 hours. The market leader, Bitcoin, lost 6.73 percent, while Ethereum 8.19 percent. The rest of the top altcoins follow, with Cardano (ADA) down by 8.68 percent.

Cardano price movement in the last 24 hours: Cardano breaks $1.60, spikes to $1.50

ADA/USD traded in a range of $1.53 – $1.75, indicating strong volatility over the last 24 hours. Trading volume has increased by 1.22 percent, totaling $3.219 billion, while the total market cap trades around $51 billion, ranking the coin in 6th place overall.

ADA/USD 4-hour chart: ADA rejecting further upside at $1.50

On the 4-hour chart, we can see the Cardano price currently testing the $1.50 mark, where support will likely be found.

ADA/USD 4-hour chart. Source: TradingView

Cardano price action has continued to trade in a strong bearish momentum over the past weeks. After a strong move higher to $2.375, a sharp reversal followed on the 10th of November, leading ADA/USD much lower later in the month.

After finding a new low at $1.60 earlier this week, a slight retracement followed to retest $1.75 previous support as resistance. From there, bearish momentum returned yesterday, leading to a spike lower over the past hours.

Currently, we see the Cardano price respecting support at $1.50. Likely we will see the previous support at $1.60 retested as resistance before ADA/USD continues lower over the following days.

Cardano Price Analysis: Conclusion 

Cardano price analysis is bullish today as we expect recovery to follow after a strong drop lower earlier today. Therefore, ADA/USD should see previous support at $1.60 retested as resistance.

While waiting for Cardano to move further, see our articles on the Best Crypto Wallet 2021, Decred Wallet, and Ripple vs SEC.

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