Cardano Falls Sharply as Bulls Struggle to Hold Above $0.78 High

May 04, 2022 at 10:22 // Price
Coin Idol
Buyers are pushing Cardano to the previous high

The price of Cardano (ADA) is in a downtrend as the cryptocurrency has dropped to the low of $0.73. The bulls have bought the dips. The bears have undercut the previous low at $0.78.

Cardano (ADA) price long-term forecasts: bearish

Today, buyers are pushing the altcoin to the previous high, while it is facing rejection at the high of $0.78. The high of $0.78 is the historical price level from March 13. 

On March 13, the altcoin consolidated above the current support and continued its uptrend. Cardano rallied to the high of $1.20, but was pushed back. Today, ADA will decline if it fails at the $0.78 resistance. The cryptocurrency will regain its bullish momentum if the current support holds. The market will rise and recover above the $1.00 price level. Alternatively, the altcoin will fluctuate between the $0.73 and $0.78 price levels.

Cardano (ADA) indicator analysis

Cardano is at level 32 on the Relative Strength Index for period 14. The altcoin is back in an uptrend as buyers are emerging in the oversold region. Cardano will regain its bullish momentum if the bulls break the resistance at $0.78. Cardano is above the 50% area of the daily stochastic. The market has resumed its upward movement as buyers emerge in the oversold region. The 21-day line SMA and the 50-day line SMA are sloping downward, indicating a downtrend. 

ADAUSD(Daily Chart) - April 4.png

Technical Indicators: 

Key resistance zones: $3.00, $3.50, $4.00

Key support zones: $2.50, $2.00, $1.50

What is the next move for Cardano (ADA)?

Cardano has resumed its upward movement as the downward trend reaches an oversold region of the market. Meanwhile, on May 4, a candlestick tested the 61.8% Fibonacci retracement level. The retracement suggests that ADA will rise and reach the high of the level 1.618 Fibonacci Extension or $0.799.

ADAUSD(2 -Hour Chart) - April 4.png

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.

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