Cryptocurrency analysts of Coinidol.com report, Cardano (ADA) is in an upward correction after falling below the moving average lines.
The uptrend is encountering resistance at the $0.30 high. If buyers surpass the recent high, the ADA price will rise to $0.31. It is also doubtful that the cryptocurrency would continue to rise. Moreover, the daily stochastic indicates that Cardano is trading in the overbought zone of the market.
The ADA price will fall and drop back to the previous low of $0.26 if Cardano fails the $0.30 resistance or the 50-day line SMA. The ADA price will fall and retrace to the previous low of $0.26 if Cardano fails at the resistance of $0.30 or the 50-day line SMA. In the meantime, ADA continues to see resistance at $0.30.
Cardano is in an upward correction as it has crossed above the Relative Strength Index of period 14, level 47. The price bars are below the moving average lines, suggesting that a decline is possible. Since the Stochastic on the daily chart is above the level of 80, ADA could also decline. It is trading in the overbought area of the market.
Key resistance zones: $0.30, $0.35, $0.40
Key support zones: $0.20, $0.15, $0.10
The price of Cardano will decline if it is rejected at the current high of $30. Moreover, the market is overbought, which will lead to a decline in the altcoin, which is in a bearish trend zone, which means that it is likely to fall. The Doji candlesticks are causing the altcoin to move a bit.
As we reported on August 04, if the price falls below the moving average lines, the decline will accelerate. At the time of writing, ADA has fallen to a low of $0.29.
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.com. Readers should do their own research before investing in funds.