Chart by TradingView
Cardano’s downtrend continued this past week, and it has reached critical support. Can the price hold here?
Key Support levels: $0.35, $0.30
Key Resistance levels: $0.38, $0.42
ADA dropped by 15% after it was rejected at the 42 cents resistance. In the process, it reached the key support at 35 cents. Buyers have the difficult task of defending the price at this key level. Any weakness can quickly be exploited by sellers, which could aim for $0.3 next.
Trading Volume: The volume closed in red yesterday, but the selloff intensity declined. This shows bears have lost some interest in moving the price lower.
RSI: The daily RSI is under 50 points and falling. So long the RSI does not move above this mid-point, the bears are in control.
MACD: The daily MACD histogram is making lower lows and the moving averages are falling. This gives a bearish bias.
The bias for ADA is bearish.
While ADA continues to hold at the key support just above 35 cents, the pressure is building up on the price. If buyers fail to move it higher, then another push from bears could break this support and quickly move this cryptocurrency back to 30 cents.
