Cardano Price Upside Momentum Wanes Resistance Likely Near $0.70
Summary:Cardano price has established support at $0.630 but the upside momentum faces headwinds that could subdue gains.Cardano price returned to the upside on Tuesday, snapping a two-day losing streak to...
- Summary:
- Cardano price has established support at $0.630 but the upside momentum faces headwinds that could subdue gains.
Cardano price returned to the upside on Tuesday, snapping a two-day losing streak to register 1.7% gain on the daily chart. The coin has been trading above the $0.600 for the past seven days, and its momentum indicators signal a likely continuation of the upside. The price action has recently broken upwards from a descending channel on the daily chart, raising the prospect of a reversal.
ADA price has recently broken above the Volume Weighted Moving Average (VWMA), adding credence to the bullish outlook. Also, the value of open interest grew by 4.99% in the last 24 hours, according to Coinanalyze data. That shows rising investor confidence in the coin’s performance, which could add tailwinds to the price momentum.
However, Cardano,s upside potential will be subdued by the falling trading volumes. According to CoinMarketCap data, ADA coin’s trading volume declined by 8.4% in the 24 hours to this writing. That signals declining buying appetite that could potentially shift the momentum to the downside if the trend continues.
Ultimately, Cardano’s performance will be closely linked to the broader crypto market sentiment. Declining risk aversion in the market is good for the price upside amid trade tariff war. Therefore, talks between the United States and its trading partners could help Cardano price strengthen its traction.
Cardano Price Prediction
The momentum on Cardano price calls for further upside above the $0.630 pivot mark. The ADAUSD trading pair will likely meet initial resistance at $0.647. However, an extended control by the buyers will break above that level and could potentially test $0.667.
Conversely, going below $0.631 will invite the sellers to be in control, with the downward momentum likely to find its initial support at $0.615. A break below that level will invalidate the upside narrative. In addition, the price could go lower and have a go at the second support at $0.597 in extension.
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