ADA Buyers Defend $1 Support; Here’s What To Expect Next For Cardano Price

By Brian Bollinger
February 14, 2022 Updated February 14, 2022
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Cardano Price Analysis: ADA Price Rally Reclaiming Crucial Resistance Of $1.5 

The overall trend for the Cardano (ADA) price is bearish, and the long-coming descending bolsters a similar opinion. After last week’s relief rally failed to overcome the $1.2 resistance, the ADA price turned down and tumbled 15% to the $1 support. Can bulls make a meaningful recovery, or will they lose the $1 mark?

Key technical points: 

  • The daily-RSI slope plummets to the negative territory
  • The intraday trading volume in the ADA coin is $1.2 Billion, indicating a 10% hike

TradingView ChartSource- Tradingview

After two weeks of consolidation above the $1 support, the ADA price bounced back amid the recent recovery in the crypto market. The altcoin soared 17% and challenged the immediate resistance of $1.2.

However, the higher price rejection at this level indicated the intense selling pressure from the bears, which reverts the altcoin to the bottom support($1). 

Due to the recent retracement, the Relative strength index(41) slope slips below the middle line and 14-SMA, indicating the bears have the upper hand.

The downsloping 20, 50, and 100 DMA accentuates the bear’s domination. Moreover, the 50 DMA line acts as dynamic resistance to the downtrend.

ADA/USD: 4-hour time frame chart

TradingView ChartSource- Tradingview

By the time of the article, the ADA/USD pair is trading at the $1.047 mark and shows a bullish Doji candle with a major lower price rejection. This indicates the buyers are still holding to these buyers and could attempt another bullish reversal.

If the coin price rebounds from this crucial support, the ADA buyers would make another attempt to breach the overhead resistance of $1.2, providing the first signal to recovery.

Contrary to the bullish assumption, if sellers slid the altcoin below the $1 support, the selling pressure would intensify, and bears will pull the price to $0.8. 

  • Resistance levels- $1.2, and $1.5
  • Support levels-$1 and $0.8

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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