Cardano (ADA)

Cardano’s [ADA] price sustained a significant setback after the market-wide meltdown. Following which its price started moving sideways. However, the dull market movement reversed and it underwent a price recovery shortly thereafter. Buyers shunned the negative market trend triggering Cardano to enter a consolidation channel thus helping its price to minimize the weekly losses to a little over 3%.

The shift in momentum was a relief for the ecosystem which depicted renewed buying pressure. Meanwhile, ADA was trading at $0.313 after accruing more than 8.6% in gains over the last 24-hours. In addition, the crypto-asset registered a market cap of $9.77 billion and a 24-hour trading volume of $2.48 billion, at the time of writing.

Will ADA bulls propel a much-anticipated upswing and help the token topple its nearest ceiling?

Cardano [ADA] Daily Chart:

Cardano’s [ADA] relief rally aimed for the recently established multi-year high while anticipating cues for a definitive movement from the wider crypto market. The placement of the moving averages does not suggest any bearish flip.

The 50 DMA [Pink] continued to mimick ADA’s price action while maintaining a steady divergence with the 200 DMA [Blue] as both formed crucial support points for the candlestick arrangement.

The MACD was quite optimistic as continued the bullish journey for two straight weeks above the zero-line showing. The indicator could essentially prompt the buyers in pushing the price north.

The Stochastic RSI also eased the selling pressure as it appeared to undergo a bullish crossover. Moreover, despite the weekend fall, the RSI has continued to hold its fort above the 50-median line which was further indicative of significant buyer demand in the market.

Hence, what remains to be seen, is the impact that the ongoing buying pressure could have on Cardano’s price, and whether the price can break above the present resistance level and help push the altcoin’s price up the charts. ADA was capped at an overhead resistance of $0.332. If it manages to breach this level, the crypto-asset could climb all the way to $0.37, a level last seen in May 2018.

The support levels for the coin stood firm at $0.275 and $0.24 respectively.

Cardano [ADA] has been on an impressive rally, surging more than 22% over the week. The 8th-largest coin started trading in a sideways range following conflicting market momentum as Bitcoin and altcoins sustained downside move. However, after undergoing a rebound, ADA/USD pair restarted a fresh uptrend which aided in breach of several crucial resistances along the way. This strong surge opened the doors for more upsides for the coin in the coming days.

Over the past 24-hours, ADA was up by 11.49% which drove its price to $0.230. At the time of writing, the crypto-asset registered a market cap of $7.11 billion and a 24-hour trading volume of $3.27 billion.

Cardano [ADA] Daily Chart:

Cardano [ADA] formed a bearish ascending channel pattern on the daily chart. As per convention, an ascending channel concludes with a bearish breakout, and hence a minor correction was predicted. However, ADA defied this trend, underwent a reversal, and broke above.

The moving averages continued to form crucial support for the coin. Furthermore, the rising gauge between the 50 DMA [Pink] and the 200 DMA [Blue] exhibited a bullish outlook for Cardano.

Despite the positive turnaround, will ADA bulls be able to sustain higher levels?

Following the latest price movement to the positive side, the Bollinger Bands diverged which depicted a period of high volatility in the coin market. The MACD generated a very strong buy signal as it formed a bullish crossover above zero. This trend into the bullish territory was further indicative that Cardano was primed for more gains in the near-term.

The RSI was also heading towards the overbought zone. This essentially signaled a high buying pressure among the investors in the ADA market and there was still time for a peak to materialize.

The above charts noted that Cardano could potentially breach more upside levels before the volatility fades. In which case, the target points for the coin stood at $0.277, $0.309, and $357 respectively.

However, if the bears battle it out for supremacy, ADA could fall close to the levels well supported by the 50 DMA at $0.158 and the 200 DMA at $0.121.

Cardano [ADA] was one of the fastest-growing altcoins of the year, especially after the much-anticipated Shelley update. It witnessed a roller-coaster ride after Bitcoin’s route to new highs, which in turn, made ADA, the 8th largest crypto in the world in just a matter of less than a week after climbing from the 10th position of the crypto ladder. Furthermore, it projected gains of more than 412% year-to-date [YTD].

Over the past 24-hours, Cardano [ADA] witnessed a surge of 7.00% pushing the price of the coin to $0.167. At the of writing, the token registered a market cap of $5.22 billion and a 24-hour trading volume of $1.83 billion.

Cardano [ADA] Daily Chart:

For the most part of December, Cardano remained oscillating between the trendlines of a symmetrical triangle as depicted by the above daily chart. The outcome could be a potential break on either side. As the coin awaited clarity in terms of the direction, there were some levels of interest for a short-term pullback.

After mild bearish hints, ADA flipped right back up from the 50 DMA [Pink] while the 100 DMA [Purple] continued to tread well below the ADA price candles. The gauge between the two moving averages was seen rising which was a positive indicator.

Cardano suffered a minor pullback which triggered a bearish crossover in terms of MACD. However, the indicator was now hinting at a potential bullish crossover in the near-term which could push the price of the coin for an upside breakout.

Stochastic RSI suggested a rise near the overbought zone, which was another positive indicator for the coin. The RSI too was above the 50-median line depicting a sentiment of increasing buying pressure among the investors as the altcoin spot market jumped on the bullish bandwagon to reap the profits.

The above technicals for ADA indicated a bullish breakout on completion of the pattern formation as the bulls continued to aggressively defend the current price level.

For a bullish case, the levels to look out for were $0.172 and $0.182 respectively. In addition, the coin found significant support at points $0.149, $0.143, and $0.138.