Cardano Price Analysis: ADA retests $1.20, continues to consolidate

TL;DR Breakdown

• Cardano price analysis is bullish today.
• ADA/USD saw a quick test of $1.2 previous support yesterday.
• Support at $1.15 is still strong.

Cardano price analysis is bullish today as we expect more upside to follow after initial rejection of the$1.20 mark. Likely ADA/USD will consolidate further before another push higher begins.

Cryptocurrency heat map. Source: Coin360

The market has seen bullish momentum return over the last 24 hours. The market leaders, Bitcoin and Ethereum, have gained 0.53 and 1.51 percent, respectively. Meanwhile, Cardano (ADA) follows, with a gain of 0.56 percent.

Cardano price movement in the last 24 hours: Cardano continues to consolidate

ADA/USD traded in a range of $1.15 – $1.20, indicating mild volatility over the last 24 hours. Trading volume has declined by 31.32 percent, totaling $1 billion, while the total market cap trades around $39.24 billion, ranking the coin in 7th place overall.

ADA/USD 4-hour chart: ADA finds support at $1.15 again

On the 4-hour chart, we can see the Cardano price action forming an increasingly tighter consolidation range.

ADA/USD 4-hour chart. Source: TradingView

Cardano price action has seen a steady decline over the past weeks continue. After several day consolidation above $1.30, ADA/USD broke lower on the 5th of January, reaching the $1.20 mark next.

More downside followed on Saturday, spiking to $1.125 and stabilizing around $1.15. Since then, the $1.2 previous support was retested as resistance before returning to previous support.

Therefore, we can see the Cardano action having established a consolidation area. Likely the upper limit will be tested again later today. However, until ADA/USD makes a clear break higher, we expect more downside to follow later in the week.

Cardano Price Analysis: Conclusion 

Cardano price analysis is bullish today as we saw the $1.15 support tested again with strong support offered. Therefore, ADA/USD is not ready to break lower, and we can expect more attempts to recover.

While waiting for Cardano to move further, see our articles on Coinbase Vault vs Wallet, Cardano price prediction, and crypto tax-loss harvesting.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.