Cardano price analysis: ADA stays on course to test $0.6 resistance

Cardano price analysis remains bullish, as price continues to trend upwards along a bullish hammer pattern on the daily chart. The extended uptrend initiated on July 27, 2022 with price set at $0.45 and has taken ADA price up to a 30-day high at $0.55. Price at the time of writing is consolidating just under the $0.55 resistance forming a triple top pattern around the mark. ADA price has racked up more than 22 percent over the past 5 days, and could yet rise as high as the $0.6 resistance over the coming week.

The larger cryptocurrency market showed mixed signals over the past 24 hours, as Bitcoin moved closer to the $24,000 mark and Ethereum consolidated at the $1,700 level. Among leading Altcoins, Ripple dropped down to $0.39 with a minor decline, while Dogecoin also dropped slightly to $0.07. Solana dropped 4 percent to $0.44, whereas Polkadot soared almost 6 percent to move up to $9.03.

Cardano price analysis: ADA market valuation subsides on daily chart

On the 24-hour candlestick chart for Cardano price analysis, price can be seen forming an extended ascending triangle pattern to reach a 30-day high at $0.55. The uptrend follows a brief sideways pattern that had price stuck between a narrow range around $0.45-$0.50. Price remains above the 9 and 21-day moving averages, along with the crucial 50-day exponential moving average (EMA) at $0.50. The distance between price and 50EMA will be crucial if ADA is to hit resistance at $0.6 over the coming trading sessions.

The 24-hour relative strength index (RSI) can be seen approaching the overbought zone at 60.09, which could either be a sign of a bullish breakout, or it could drag price downward. The 24-hour trading volume for ADA suffered a 26 percent decline, suggesting traders are holding out to determine the upcoming pattern. Meanwhile, the moving average convergence divergence (MACD) curve remains bullish and can be seen strengthening along a bullish divergence and forming higher lows above the neutral zone.

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Source: https://www.cryptopolitan.com/cardano-price-analysis-2022-07-31/