Cardano Price Analysis: Make it or break it momentum for ADA Price

ADA price has been acting pretty challenging for the past couple of days
  • We can see ADA forming an undeniable ascending triangle pattern in the daily time frame, which also suggests that the price action is theatrical during this phase
  • If buyers continue to push against the resistance zone of $1.24 to $1.27, we might see a substantial move to the upside

ADA price has formed an ascending triangle pattern and has been in the consolidation phase for quite a while after breaking its ATH of $1.49. When we observe, we can see that the coin is making its way to the apex. Because 64% of the way to the peak (around April 11th) is the average breakout area, the trend can go either way. At this very moment, all we can do is wait for confirmation of the upside for a bullish reversal. Ada breaking the resistance zone at $1.24 to $1.27 is the short term bullish area we can expect for the time being. On the downside, we can also expect a bearish reversal at $1.13 to $1.09 area. These levels are currently acting as a short term support area, and a breakdown to those levels is not a good sign. We saw a similar chart formation back in January where the coin was barely trading at less than 50 cents. If the bulls push and sustain the price above $1.30.

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ADA price has been acting pretty challenging for the past couple of days. Overall the trend is bullish, but for short term targets, the coin is giving mixed signals.

Currently, there is a lot of indecisiveness in the market, which we can make out by closely looking at the bodies of the candles, which appear to be relatively narrow.

Those wicks to the upside are hinting that as much as we have buyers holding the price back up, sellers are also present and are successful in rejected upward movements. 

As of today, the coin is hovering above all significant levels of EMA, which provide strong support at $1.86(20 EMA), $1.68(30 EMA), $1.07(50EMA) and 0.59 cents (200 EMA). Primarily considering that ADA is above its 30 EMA gives us indications of bullishness as in the past, whenever the coin has consolidated above the 30 EMA, it has pumped to the upside.

Speaking of RSI, it is hanging pretty tight at 60 giving us neutral signals. 

CONCLUSION

 If the bulls push and sustain the price above $1.30, ADA may challenge resistance at $1.48. This will be the third attempt to clear overhead resistance; hence the possibility of a break above is high. It is only trading at a low of 24% from its ATH. A target of $2 is very likely if the bullish momentum is active. On the other hand, there has been a significant decline in the volume. The impressive part is that AD has been trading sideways without much damage, which proves there’s not much volatility. Overall, ADA is looking bullish, as suggested by most indicators. 

TECHNICAL LEVELS

SUPPORT: Other than the supports provided by the 4 EMAs, we see strong support at $1.02 (resistance was broken into support) also between the range $1.09-1.13, out of which $1.15 has proved itself many times in the past. 

RESISTANCE: $1.49 (ATH), $1.34 and between the range of $1.24 to $1.27. 

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Andrew Smithhttp://thecoinrepublic.com
Andrew is a blockchain developer from his education and developed his interest in the cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer.

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