Chart by TradingView
Key Support levels: $1.3
Key Resistance level: $1.5
ADA did not look back after breaking the descending triangle (in blue) and appears ready for more gains. It has reversed the downtrend with a strong momentum upwards which has taken the price over $1.3. If ADA can turn this level into support, then the next target sits at $1.5, which will act as resistance.
Trading Volume: Volume was strong during the breakout and remains high. The biggest question now is if ADA can hold above $1.3.
RSI: The RSI is climbing fast and made a higher high on the daily timeframe. The RSI currently sits at 48 points, if it can get above 50 and stay there, then the bulls will be in control of the price.
MACD: The MACD on the daily timeframe is expanding and moving higher. This is very bullish, and there are no signs of weakness during this latest rally. Both the histogram and moving averages are making higher highs too.
The current bias is bullish.
The biggest challenge for ADA right now is to turn the key level at $1.3 into support and confirm it with a retest. Once that is completed, ADA can charge towards the $1.5 resistance which requires a 10% price increase at the time of this post.
