May 16, 2022

Cardano Price Analysis: ADA Facing Critical Support Following 13% Weekly Drop

2 min read

ADA/USD – – Bulls Attempt To Defend $1.10.

Key Support Levels: $1.07, $1.00, $0.944.
Key Resistance Levels: $1.20, $1.32, $1.40.

ADA is down by an overall of 13.5% over the past week as it slips from above $1.30 to reach the existing $1.11 level. There was a bearish divergence that was playing out from mid-Feb to the start of March that triggered the marketplace to roll over from $1.30 over the previous week.

After rolling over, the coin dropped beneath $1.30 and continued to fall up until the marketplace discovered assistance at $1.10. The bulls have actually succeeded to close every daily candle light this week above this level. It is likewise boosted by an ascending pattern line that dates back to mid-Feb 2021.

ADA/USD Daily Chart.

Source: TradingView ADA-USD Short Term Price Prediction Looking ahead, if the bulls can rebound from$1.10, the very first level of resistance lies at$ 1.20. This is followed by $1.32 (February High-Day Closing rate),

$ 1.40, and $ 1.48 (ATH Price ). On the other side, if the sellers break below $ 1.10 and fall listed below the ascending pattern line, support very first lies at $ 1.07(.382 Fib). This is followed by $ 1.00, $ 0.95 (.5 Fib ), and $ 0.817(.618 Fib ). The RSI is now somewhat underneath the midline, suggesting that the

bears are – in the procedure of taking control of the marketplace momentum. If the RSI continues to dip,

ADA can be expected to break below the ascending trend line. ADA/BTC – Bulls Meet Ascending Trend Line Support Key Support Levels: 2200 SAT, 2086 SAT, 1950 SAT. Secret Resistance Levels: 2300 SAT, 2456 SAT, 2600 SAT.

ADA has actually likewise been decreasing versus bitcoin over the past week. It had set a fresh 2021 high at 3195 SAT toward completion of February but started to drop from there. Towards completion of recently, ADA managed to find assistance at 2300 SAT (.5 Fib Retracement).

Regrettably, the bears pushed beneath this assistance over the weekend as ADA falls into 2200 SAT and satisfies the assistance at the rising pattern line.

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ADA/BTC Daily Chart. Source: TradingView ADA-BTC Short Term Price Prediction

Looking ahead, the very first level of assistance below the pattern line lies at 2086 SAT (.618 Fib). This is followed by 1950 SAT (drawback 1.272 Fib Extension), 1800 SAT (long term.618 Fib), and 1600 SAT (July 2020 High).

On the other side, the first level of resistance lies at 2300 SAT. This is followed by 2456 SAT (July 2018 High-Day Close), 2600 SAT, and 2700 SAT.

Also, the RSI here is beneath the midline, showing the bears are in control of the marketplace momentum.