Chart by TradingView
ADA lost the support at $0.50, and, unfortunately for the bulls, this means that lower targets are now in play.
Key Support levels: $0.39
Key Resistance levels: $0.50, $0.60
Today turned into a painful day in crypto, with most of the market taking a beating. ADA was no exception after losing the support at $0.50, which is now acting as resistance. The next critical support is found at $0.39, but ADA, there might be some hope for a reversal before that, should the momentum improve.
Trading Volume: ADA’s price lost the support at $0.50 on decreasing volume. This is rather surprising and shows that there are almost no buyers in the current market. Whoever is selling may be derisking.
RSI: The daily RSI is curving back down after barely escaping the oversold area. If the bearish momentum continues, the RSI could fall back again to under 30 points.
MACD: The daily MACD gives a bearish signal with a lower high on the histogram today. Buyers need to come soon, otherwise, the stage is set for lower lows.
The bias for ADA is bearish considering this price action.
ADA’s 2018 high was at $0.39. If this level fails to stop the current downtrend, then the cryptocurrency could be in big trouble because the next level of support below that is found at $0.17. A correction of 95% in a bear market is not uncommon for altcoins, therefore, it might be a good idea to prepare for the worst while hoping for the best.
