106 Interactions, 2 today
Cardano surged higher on the price scale as the Bitcoin market rebounded from its collapse. However, the pullback observed by the ADA was insufficient to deter bears from entering the market. There was still a lot of bearishness in the market, which might lead to another drop in ADA if the momentum doesn’t change.
Cardano hourly chart
The spike helped ADA reach $1.62, but the subsequent reversal brought it down to $1.54. ADA has two options now: either disintegrate under the bearishness, or traders see this as an entry point, and ADA rises above $1.56.
Given the market’s general bearishness, ADA might fall to support at $1.49 at any time. Buyers’ efforts, however, might drive it to the Point of Control, which is placed at $1.56. Visible Range observed that PoC was a hotspot for traders during the present timeframe. Because the price was near to this range, traders may push ADA to $1.56.
However, after reaching this level, ADA may have to hang on to it because resistance is still nearby around $1.59. If buyers can sway the market, ADA might rise and re-test resistance.
Interestingly, the Stochastic RSI suggested that buyers were attempting to drive up the price. The RSI, which had stayed in the oversold zone, had turned around and risen above the signal line.
Nonetheless, the positive scenario was impossible to realise because the ADA market’s momentum remained negative. Following the rise and dump, the Awesome Oscillator has fallen into the negative zone, indicating a period of consolidation.
Take Profit: $1.50
Risk and Reward: 1.6
The present ADA market was at a crossroads. Despite the fact that the crypto market was generally negative, buyers were attempting to take advantage of the price drop. Given Cardano’s attempts to establish the ADA ecosystem, traders may view this as a low entry point, causing the price to rise. However, with resistance staying near, the market’s optimism may be put to the test.