Cardano (ADA) is in a downward correction and has fallen below the moving average lines. Further upward price movement is doubtful. On July 9, buyers tried to keep the price above the 21-day line SMA, but were rejected.
The failure of buyers at the recent high indicates that sellers are aggressively defending this level. Sellers have pushed the altcoin to the low of $0.41, while bulls are buying the dips. In other words, Cardano will retrace and regain the previous level of $0.40 if the bears fall below the current support. On the other hand, if the bears fall below the $0.40 support, the market will continue to fall to the $0.35 low. Today, there are bullish candlesticks that point to a possible upward movement of the cryptocurrency.
Cardano indicator analysis
Cardano is at level 38 of the Relative Strength Index for the period 14. The cryptocurrency is in the bearish zone and could fall further. The price bars of the cryptocurrency remain below the moving average lines, indicating a possible decline. The daily stochastic is below the 20% area. ADA has reached the oversold zone.
Key Resistance Zones: $1.00, $1.20, $1.40
Key Support Zones: $0.60, $0.40, $0.20
What is the next move for Cardano?
Cardano has been in a sideways movement since May 12. The cryptocurrency fluctuates between $0.40 and $0.65 price levels. The altcoin will develop when the limits of the range are broken. In the meantime, the altcoin is rising as it has fallen into the oversold area of the market.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
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