Cardano (ADA) price falls after five days of price wars between buyers and sellers. The altcoin has fallen, hitting $1.22 low. Prior to the recent downward movement, buyers and sellers were engaged in price wrangling between $1.28 and $1.36.
On July 8, sellers pushed ADA to a low of $1.28, but bulls bought the dips. Cardano's price corrected upward and reached the high of $1.36. The upward correction tested the recent high three times, but buyers could not sustain the bullish momentum. On July 12, ADA was resisted as price fell sharply to support at $1.30. Today, the market hit a low of $1.22. By all appearances, the downtrend is likely to continue to the low of $1.00 or $1.10.
The cryptocurrency has fallen to the 39 level of the Relative Strength Index period 14. This indicates that ADA is approaching the oversold area of the market. However, Cardano is below the 20% area of the daily stochastic. It indicates that the market has reached the oversold region. Buyers are likely to emerge in the oversold region and push prices higher.
Major Resistance Levels - $2.00 and $2.20
Major Support Levels - $1.60 and $1.40
Cardano is in a downtrend. On July 9, a retraced candlestick body tested the 50% Fibonacci retracement level. The retracement indicates that ADA will fall to the 2.0 Fibonacci extension level or the $1.13 level. Based on the price action, the market has reached a low of $1.22.
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.