Cardano Price Analysis: Cardano attempting to retrace towards the 20-day EMA and regain $2.00

TL;DR Breakdown

  • Cardano got rejected at $1.56 
  • $1.56 is Cardano’s 50-day SMA as well as the main resistance
  • The next bullish target lies at $1.94

Cardano Price Analysis: General price overview

Cardano is heading to break below the mid-line Bollinger band at $1.5335 on the 1-hour chart.This is after the coin got rejected at $1.5600 at the close of yesterday’s chart as it attempted to consolidate near the 20-day exponential moving average. $1.56 lies at the 50-day simple moving average and serves as the next major price hurdler on the 24-hour chart. The overall market for ADA  is trading on bearish momentum with several signs of weaknesses around $1.53 and $1.50. Nonetheless, Cardano price action was able to recover from a 21 percent slump after correcting downwards from its 5-day high at $1.78. 

Cardano price movement in the last 24-hours: Key resistance at 50-day SMA ($1.56)

Cardano is down by 6 percent from yesterday’s intraday high. The bulls are waging war against the 50-day SMA at $1.56 after winning volumes of buyers on the 4-hour chart. In fact, the price is rising within a rising wedge that begun at $1.49 and now towards $1.54. This is the first bullish leg since 9th June. If the bulls are able to sustain the movement and solid buyer volumes, the price could hit $1.94, where the target support lies.  Managing this support will give bulls an upper hand in controlling Cardano price action to the ATH of $2.47.  

cardano price
Source: TradingView

Cardano opened the daily trading chart at a price of $1.533.There was a sharp uptrend momentum in those first few minutes of trading before the price plunged to an intraday low of $1.4924.The daily range is somewhat high, which serves as an indication of high volatility. 

Cardano 4-hour price chart: Positive oscillations on MACD and RSI

The MACD has marked a bullish crossover on the 1-hour chart. Oscillations of the Relative Strength Index are lying towards the overbought region, which indicates a positive buy signal. While the overall market is bearish, Cardano’s near-term charts suggest lots of optimism for the bulls. There are several signs of recovery on the 4-hour chart; for example, the first support at $1.500 seems sufficiently solid to defend any break below it and today’s low of $1.49. At the time of writing, Cardano is trading at $1.53 and has been hovering between $1.53 and $1.54 for quite a while. $1.55 appears to be an indication of amounts of sellers who are attempting to pull the price backward away from the 50-day SMA.  

Cardano Price Analysis: Cardano attempting to retrace towards the 20-day EMA and regain $2.00 3
Source: TradingView

Cardano price analysis conclusion: Bulls anticipate taking over during the weekend

Today’s close of the chart should be an important observation as it ushering the second weekend since the start of June. The market has been weighted heavily for the past one week by downward pressures. However, according to Cardano price analysis from the chart, the patterns are positive, and the bulls are actually betting on a bullish close. While any expectations are only near term, breaking above the SMA and the EMA will point towards a price rally to the next high. 

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