Cardano Resumes Selling Pressure as It Faces Rejection at $0.35
The price of Cardano (ADA) fell to a low of $0.31 on November 9, indicating a downward trend. The cryptocurrency's price has been hovering between $0.31 and $0.38 over the past week.
On November 14, when ADA moved back up, sellers failed to break the current support at $0.31.
Another rejection is experienced by the price of the cryptocurrency at its high of $0.35. Sellers are trying to apply selling pressure once again. On the downside, ADA will fall to a low of $0.23 if sellers break the $0.31 support. Buyers will find it difficult to overcome the initial resistance at $0.35 on the upside. If the buyers manage to overcome the resistance at $0.35 and $0.38, the altcoin will rise above the moving average lines. However, as long as the current levels hold, ADA/USD will remain in a trading range between $0.31 and $0.38.
Cardano indicator analysis
ADA relative strength index is at 41 for the period 14. The cryptocurrency price is currently in a downward zone and could continue to fall. If the price bars fall below the moving average lines, the value of the cryptocurrency will decrease. ADA has exceeded the daily stochastic level of 80. This shows that the market is overbought for ADA. At the current high, the altcoin is likely to be dumped.
Key Resistance Zones: $1.00, $1.20, $1.40
Key Support Zones: $0.60, $0.40, $0.20
What is the next move for Cardano?
Cardano is in an upward correction on the 4-hour chart as it crossed the 21-day line SMA. As the market enters the overbought zone, ADA is bearish. ADA had an upside reversal during the November 9 decline and a candlestick tested the 61.8% Fibonacci retracement level. After the correction, ADA will fall to the 1.618 Fibonacci level or $0.23.
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 in funds.
Source: Read Full Article