Cardano (ADA) Price Analysis: Correction Reaches Key Support
Cardano price is correcting lower below $0.500 against the US Dollar, similar to bitcoin. ADA price must stay above the $0.450 zone to avoid more downsides.
Cardano Price Analysis
This past week, cardano price started a decent increase above the $0.450 level against the US Dollar. The ADA/USD pair was able to clear the $0.480 and $0.500 resistance levels.
The pair even climbed above the $0.525 resistance and spiked above the $0.550 level. A high is formed near $0.5482 and the price is now correcting gains. There was a move below the $0.520 level. The price declined below the 50% Fib retracement level of the upward move from the $0.4026 swing low to $0.5482 high.
Besides, there was a break below a key bullish trend line with support near $0.4900 on the 4-hours chart. The price is now trading below $0.50 and the 55 simple moving average (4-hours).
On the downside, an immediate support is near the $0.460 level. It is near the 61.8% Fib retracement level of the upward move from the $0.4026 swing low to $0.5482 high. The next major support is near the $0.450 level, below which the price may perhaps decline heavily.
The main support could be $0.400.On the upside, an immediate resistance is near the $0.480 zone. The next major resistance is near the $0.500 level.
The main hurdle is near $0.520. A clear upside break above the $0.520 level might send the price towards the $0.55 resistance. Any more gains could start a steady increase towards the $0.600 level in the near term.
The chart indicates that ADA price is now trading below $0.50 and the 55 simple moving average (4-hours). Overall, the price could start a fresh increase if it stays above the $0.450 support zone.
4 hours MACD – The MACD for ADA/USD is now gaining pace in the bearish zone.
4 hours RSI – The RSI for ADA/USD is now below the 50 level.
Key Support Levels – $0.460 and $0.450.
Key Resistance Levels – $0.500 and $0.520.
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