Chart by TradingView
ADA’s price is found in a difficult position, trading at a key support level at a time when the bears are in complete control of the market.
Key Support levels: $0.43, $0.38
Key Resistance levels: $0.50, $0.56
After another failure from ADA to break above the $0.50 resistance, the sellers took over the price action and pushed the cryptocurrency all the way down to the key support at $0.43. The current market has a strong bearish bias, and there are no apparent catalysts in sight, at least from a technical perspective.
Trading Volume: The volume remained steady for most of September and closed in red in the past two days, showing that bears are in control.
RSI: The daily RSI quickly fell under 50 points over the weekend, placing it on the bearish side. There are no signs of a possible reversal at this time.
MACD: The daily MACD did a bearish cross on Sunday. This may put significant pressure on the key support at $0.43 and $0.38.
The bias for ADA is bearish.
With ADA hovering above a critical support level, it is hard to find optimism in the current market. If bulls don’t manage to stop the negative momentum, it’s likely that the cryptocurrency may fall towards the next support at $0.38.
