Cardano Price Analysis: ADA Slumps 20% in 4 Days as Bulls Defend a Crucial Support


ADA/USD – Market Falls Into .618 Fib Support

Key Support Levels: $1.17, $1.10, $1.00.
Key Resistance Levels: $1.30, $1.47, $1.46.

ADA is up by a total of 10.5% since rebounding from support at an ascending trend line at $1.00 last week. After the rebound, ADA went on to surge as high as $1.46. The price surge was driven by the fact that ADA had been added to the Coinbase Pro platform.

Unfortunately, it was unable to close a daily candle above resistance at $1.37 (1.414 Fib Extension level) and rolled over from there. Since rolling over, ADA has dropped over the previous four days until support was found today at $1.17(short term .618 Fib), bringing the total loss to about 20% in this time frame.

ADA/USD Daily Chart. Source: TradingView

ADA-USD Short Term Price Prediction

Looking ahead, the first level of support lies at $1.17 (.618 Fib). This is followed by $1.10, the ascending trend line, $1.00, and $0.95 (.5 Fib).

On the other side, the first resistance lies at $1.30. This is followed by $1.37 (1.414 Fib Extension), $1.46 (1.618 Fib Extension), and $1.50. Additional resistance lies at $1.625 and $1.70.

The RSI is trading along the midline, indicating indecision within the market. If it drops beneath 50, the bearish momentum will pick up and is likely to drive ADA back toward $1.00.

ADA/BTC – Buyers Battle To Defend 2000 SAT.

Key Support Levels: 2000 SAT, 1950 SAT, 1800 SAT.
Key Resistance Levels: 2300 SAT, 2455 SAT, 2645 SAT.

Against Bitcoin, ADA also rebounded from 1800 SAT last week to push high as 2500 SAT. It was struggling in March after falling from 2900 SAT to reach the support at 1800 SAT, provided by a longer-term .618 Fib Retracement.

From 2500 SAT, it started to head lower until reaching the support at 2000 SAT today, provided by a .618 Fib Retracement.

ADA/BTC Daily Chart. Source: TradingView

ADA-BTC Short Term Price Prediction

Looking ahead, if the sellers break beneath 2040 SAT, the first support lies at 1950 SAT (downside 1.272 Fib Extension). This is followed by 1800 SAT (.618 Fib Retracement), 1600 SAT (July 2020 Highs), and 1425 SAT (.786 Fib Retracement).

On the other side, the first resistance lies at 2300 SAT. This is followed by 2455 SAT, 2645 SAT (bearish .618 Fib), 2800 SAT, and 2888 SAT (bearish .786 Fib).

Likewise, the RSI is trading along the midline, indicating indecision within the market. If it pushes further beneath 50, the bearish momentum will increase and is likely to cause ADA to fall beneath 2000 SAT.

Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

WP Twitter Auto Publish Powered By :

We use cookies to give you the best online experience. By agreeing you accept the use of cookies in accordance with our cookie policy.