The price of Cardano has initiated a downward correction beneath the $1.00 threshold. ADA is stabilizing and encountering obstacles around the $0.920 and $0.950 marks.
- The ADA price has begun a decline below the $1.00 support zone.
- The price is currently trading under $0.950 and the 100-hour simple moving average.
- A connecting bearish trend line is developing, presenting resistance at $0.92 on the hourly chart for the ADA/USD pair (data sourced from Kraken).
- The pair may initiate another upward movement if it surpasses the $0.950 resistance level.
Cardano Price Experiences New Decline
After struggling to breach the $1.00 resistance threshold, Cardano has entered a new decline, similar to Bitcoin and Ethereum. ADA has fallen below the $0.9650 and $0.950 support thresholds.
The most recent peak was registered at $0.9495 before the price retreated. A decline ensued below the $0.920 support zone. The price fell beneath the 50% Fibonacci retracement level from the upward movement that spanned from the $0.8628 swing low to the $0.9495 peak.
Currently, Cardano’s price is below $0.925 and the 100-hourly simple moving average. On the upside, the price may encounter resistance near the $0.920 level. Additionally, a connecting bearish trend line is forming with resistance at $0.92 on the hourly chart of the ADA/USD pair.
The initial resistance is in the vicinity of $0.9350. The next significant resistance could be at $0.950. Should there be a close above the $0.950 resistance, the price may initiate a robust rally. In that scenario, the price could ascend towards the $1.00 range. Further gains may prompt a rise toward $1.050 in the short term.
Are Further Losses Expected for ADA?
If the price of Cardano cannot rise above the $0.920 resistance level, it may start another drop. The immediate support on the downside is close to the $0.8950 mark or the 61.8% Fibonacci retracement level from the upward move that ranges from the $0.8628 swing low to the $0.9495 high.
The next primary support is around the $0.865 level. A downward breach below the $0.8650 level could pave the way for a test at $0.820. The next crucial support is near the $0.8050 level, where bullish activity might reemerge.
Technical Indicators
Hourly MACD – The MACD for ADA/USD is gaining traction in the bearish territory.
Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is presently below the 50 threshold.
Key Support Levels – $0.8950 and $0.8650.
Key Resistance Levels – $0.920 and $0.950.
