Cardano price has started a decent rise above the $0.3620 resistance. ADA is now showing positive signs and could further rise towards $0.420.
- ADA price started a recovery wave from the $0.3420 level.
- The price is trading above $0.380 and the 100 hourly simple moving average.
- There is a key bullish trend line forming with support at $0.3810 on the hourly chart of the ADA/USD pair (data source from Kraken).
- The pair could continue to rise if it remains stable above the $0.3800 support zone.
Cardano Price Starts Steadily Rising
After forming a base above the $0.3420 level, Cardano started a decent increase. There was a decent move above the $0.3550 and $0.3650 resistance levels like Bitcoin and Ethereum.
The bulls even pushed the price above the $0.380 resistance. A high was formed at $0.3938 and the price is now consolidating gains. It is above the 23.6% Fibonacci retracement level of the upward move from the $0.3432 low to $0.3938 high.
Cardano price is now trading above $0.380 and the 100 hourly simple moving average. There is also a key bullish trend line forming with support at $0.3810 on the hourly chart of the ADA/USD pair.
On the upside, the price could face resistance near the $0.3900 area. The first resistance is near $0.3940. The next key resistance could be $0.4200. If there is a close above the $0.4200 resistance, the price could start a strong rally. In the indicated case, the price could rise towards the $0.450 region. Any further gains could require a move towards $0.500.
Are dips supported in ADA?
If Cardano price fails to break above the $0.3900 resistance level, it could start a fresh decline. Immediate support on the downside lies near the $0.380 level and the trend line.
The next major support lies near the $0.3650 level or the 50% Fibonacci retracement level of the upward move from the $0.3432 low to $0.3938 high. A downside break below the $0.3650 level could open the doors for a test of $0.3550. The next major support lies near the $0.3420 level, where the bulls could emerge.
Technical indicators
Hourly MACD – The MACD for ADA/USD is gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is now above the 50 level.
Key support levels – $0.3800 and $0.3650.
Key resistance levels – $0.3900 and $0.4200.
