A breakout Above This Critical level Would Sustain Gains In Cardano

Cardano price edges higher amid sustained buying pressure. The price is finally able to breach the critical $0.55 level. ADA is capitalizing on the fundamental trigger and broader crypto market recovery. The bulls have taken the charge as the price took viable support near the $0.46 level. The price is headed for another weekly gain.

• Cardano price continues to print gains, a total of 15% appreciation.
• Strong support formed near $0.46 paving a way for $0.60 as we expect bullish momentum to stay.
• The momentum oscillator turn in the favor of buyers.

The price has been trading in the green for the past few hours with a 24-hour trading volume of $302,045,993 with a loss of  17%. It is a concerning sign for the bulls.

Cardano price headed for weekly gains

Cardano’s price reverses from the swing low of $0.43 after a steep fall from the highs of $0.59. Following a consolidation for the short term, the price rise along with above-average volumes.

The Cardano buyers have been buying near $0.42, but they have not been able to push the price above the overhead resistance at $0.57, indicating bears are active at the higher level. Currently, the token is oscillating inside the two converging lines, forming a symmetrical triangle formation.

With the formation of three green candlesticks suggests a probable upside breakout. A sustained buying pressure would push the price higher. On moving higher, the first upside target could be located at $0.54 followed by $0.58.

The RSI (14) reads at 52. The momentum oscillator trades above the average line, and any uptick brings gains.

On the 4-hour chart, the Cardano price consolidates near the higher levels. The price is expected to retrace toward the 0.23% Fibonacci retracement level at $0,50. The Fibonacci retracement extends from the lows of $0.43. More gains were added as the price jumped above the 21-day exponential moving average. We expect a consolidation before the next directional setup.

What to do at the current level?

Cardano’s price analysis shows that bears challenging $0.52, a break and close below it could start the next leg of the downtrend. The pair could then drop to the 0.38% Fibonacci retracement level. Conversely, if buyers pushed the price above $0.55, the bullish momentum could pick up and the pair might move toward $0.64.

The overall sentiment is bullish. Any price correction would be a healthy one, provided it holds near $0.50. This would be a buying opportunity for sidelined investors.