Cardano price climbed higher above the $0.0800 pivot level against the US Dollar, and recovered vs bitcoin. ADA is currently holding gains and it could soon break the $0.1000 barrier.
Cardano Price Analysis
After testing the $0.0600 support area, cardano price started a strong rally against the US Dollar. The ADA/USD pair gained more than 20% and broke many resistances such as $0.0650, $0.0720 and $0.0770. The upward move was strong as the price even broke $0.0800 and settled well above the 55 simple moving average (4-hours). Finally, there was a push towards the $0.0900 level and the price traded as high as $0.0883. Recently, it corrected below $0.0860 level and the 23.6% Fibonacci retracement level of the rally from the $0.0770 low to $0.0883 high.
The price tested the $0.0835 level and it is currently moving higher. On the downside, the $0.0835 may continue to act as a support. The next key support is near $0.0827 and the 50% Fibonacci retracement level of the rally from the $0.0770 low to $0.0883 high. Moreover, there is a major bullish trend line forming with support at $0.0804 on the 4-hours chart. As long as the price is above the trend line, it could climb above $0.0880 and $0.0900. The main barrier for the bulls could be $0.1000, above which the price may test $0.1080.
Conversely, if there is a break below the trend line and $0.0800, the price may decline towards the $0.0770 support area. If there is a downside extension, the next stop could be $0.0745. It represents the 1.236 Fib extension level of the rally from the $0.0770 low to $0.0883 high.
The chart indicates that ADA price is trading in a strong uptrend above $0.0825 and $0.0800. Therefore, there are high chances of more gains above the $0.0880 and $0.0900 levels. However, it won’t be easy for the bulls to gain strength above $0.0975 and $0.1000 if the price continues to rally. Above $0.1000, there could be a solid upside extension.
4 hours MACD – The MACD for ADA/USD is currently placed heavily in the bullish zone.
4 hours RSI – The RSI for ADA/USD is now well above the 65 level and it is moving towards 75.
Key Support Levels – $0.0825 and $0.0800.
Key Resistance Levels – $0.0880 and $0.1000.
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