The price of Cardano (ADA) is in a downward correction, but selling pressure has eased as the altcoin finds support above $0.91. Today, ADA drops to a low of $0.94.
Since April 11, the cryptocurrency has consolidated above the $0.91 support. Similarly, ADA/USD has been fluctuating between the $0.91 and $1.00 levels.
The upward correction was staved off at the resistance zone at $1.00. The cryptocurrency is moving in a narrow range that will lead to a rally or a breakdown. If the bulls break the resistance at $1.00, Cardano will rally above the moving averages. Subsequently, the bullish momentum will extend to the $1.20 high. On the other hand, if the bears break below the current support, the market will continue to fall to the low of $0.78.
Cardano is at level 43 of the Relative Strength Index for the 14 period. The cryptocurrency continues to trade in the downtrend zone and is below the 50 midline. ADA The cryptocurrency's price bars are below the moving averages, which makes the altcoin vulnerable to a decline. The 21-day line SMA and the 50-day line SMA are sloping downward, indicating a downtrend. Cardano is above the 80% area of the daily stochastic. The market has reached the overbought zone. This means the altcoin is likely to fall to the downside.
Key resistance zones: $3.00, $3.50, $4.00
Key support zones: $2.50, $2.00, $1.50
Cardano is in a downtrend, but the cryptocurrency price has made an upward correction that has been staved off. Meanwhile, the price completed an uptrend on April 11; a retracement candlestick tested the 78.6% Fibonacci retracement level. The retracement suggests that ADA will fall, but will reverse at the 1.272 Fibonacci extension level, or $0.87.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.