Cardano Is Trading Above $0.43 And Is Vulnerable To A Breakout

May 11, 2024 at 12:17 // Price
Coin Idol

The price of Cardano (ADA) is consolidating within a price range above the $0.43 support level.

Long-term forecast for Cardano price: bearish

The price is above the support level of $0.43 but below the moving average lines. The price range is further restricted by the 21-day SMA or resistance at $0.47. Cardano is currently trading between $0.43 and $0.47. The 21-day SMA has limited the upward movement. The price of the altcoin will either break out or break lower given the current narrow range.

If the bears break through the current support, the market will revisit its previous low of $0.40. On the other hand, if altcoin prices rally, the 21-day SMA will be breached and the price will rise to the 50-day SMA high. In the meantime, ADA is worth $0.445 at the time of writing.

Cardano indicator analysis

Cardano's price bars are below the downward sloping moving average lines. The 21-day SMA, which acts as a resistance line, repels the price bars. At the same time, the price bars are above the horizontal moving average lines, indicating a sideways trend.

Technical indicators

Important resistance zones: $0.80, $0.85, $0.90

Important support zones: $0.50, $0.45, $0.40

ADAUSD_(Daily Chart) –May 9.jpg

What is the next move for Cardano?

Cardano continues to range below the 21-day SMA. Price action is stagnant due to the existence of doji candlesticks. The price bars are declining after reaching the resistance of the 21-day SMA. The cryptocurrency will resume its uptrend if the 21-day SMA is broken.

ADAUSD_(4 -Hour Chart) –May 9.jpg

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 Readers should do their research before investing in funds.

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