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Cardano (ADA) Price Analysis: Support Turned Resistance at $1.20

  • ADA price topped near the $1.450 level and started a fresh decline against the US Dollar.
  • The price is now trading below the $1.200 support and the 55 simple moving average (4-hours).
  • There is a key bullish trend line forming with support near $1.070 on the 4-hours chart (data feed via Bitfinex).
  • The price remains at a risk of more losses below the $1.070 and $1.050 support levels.

Cardano price is showing bearish signs below $1.200 against the US Dollar, similar to bitcoin. ADA price could correct higher, but the $1.200 zone is likely to prevent gains.

Cardano Price Analysis

Cardano price followed a bearish path from well above the $1.400 level against the US Dollar. The ADA/USD pair broke many important supports near $1.300 and $1.200 to move into a bearish zone.

The pair even settled below the $1.2000 support and settled well below the 55 simple moving average (4-hours). A low is formed near $1.070 and the price is now consolidating losses. It cleared the 23.6% Fib retracement level of the downward move from the $1.345 swing high to $1.070 low.

An initial resistance is near the $1.165 level. The first major resistance is near the $1.180 level and the 55 simple moving average (4-hours). The main resistance is now forming near the $1.200 level.

It is close to the 50% Fib retracement level of the downward move from the $1.345 swing high to $1.070 low. A clear break above the $1.200 resistance and the 55 simple moving average (4-hours) is must to start a fresh increase. In the stated case, the price might rise towards the $1.250 and $1.265 levels in the near term.

Conversely, the price might fail to climb above $1.200 and continue to move lower. On the downside, the $1.070 level is a decent support. There is also a key bullish trend line forming with support near $1.070 on the 4-hours chart. The next main support is near the $0.9800 level, where the bulls might appear.

Cardano (ADA) Price

Cardano (ADA) Price

The chart indicates that ADA price is clearly facing a strong resistance near $1.200 and the 55 simple moving average (4-hours). Overall, the price remains at a risk of more losses below the $1.070 and $1.050 support levels.

Technical Indicators

4 hours MACD – The MACD for ADA/USD is showing negative signs in the bearish zone.

4 hours RSI – The RSI for ADA/USD is now below the 50 level.

Key Support Levels – $1.070 and $0.980.

Key Resistance Levels – $1.200 and $1.265.

The post Cardano (ADA) Price Analysis: Support Turned Resistance at $1.20 appeared first on Live Bitcoin News.

Source: Live Bitcoin News

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