Cardano price analysis: ADA swiftly retraces 12 percent, retest of upside next?


Cardano price analysis is bullish today as we expect the current sideways action to end with a retest of upside. Therefore, ADA/USD should retest upside again and look to reach further upside over the weekend.

Cryptocurrency heat map. Source: Coin360

The market has traded in the red over the last 24 hours as retracement was seen across the board. The leader, Bitcoin, lost 3.85 percent, while Ethereum 1.84 percent. Meanwhile, the rest of the market followed closely.

Cardano price movement in the last 24 hours: Cardano finds support at $0.48

ADA/USD traded between $0.4772 to $0.5129, indicating moderate volatility over the last 24 hours. Trading volume has declined by 35.77 percent, totaling $1.05 billion, while the total market cap trades around $16.58 billion, ranking the coin in 8th place overall.

ADA/USD 4-hour chart: ADA prepares to continue higher?

On the 4-hour chart, we can see clear support found at $0.48 overnight and consolidation since then, indicating that Cardano price is about to reverse again. 

Cardano price analysis: ADA retraces 12 percent, retest of upside next?
ADA/USD 4-hour chart. Source: TradingView

Cardano price action has seen a strong upsurge over the past week. After pivot above $0.415 support, ADA/USD saw several waves higher until the previous swing high was broken, and the current high at $0.54 was reached.

From there, a quick reaction lower followed immediately, indicating that reversal is due next. Push lower did indeed follow quickly as ADA lost over 12 percent.

Since then, Cardano price has traded sideways around $0.48 support. Considering how much was previously gained, we could see even further push lower towards the $0.46 next support. However, reversal is the most likely option, given that the overall weekly market structure is very bullish.

Cardano price analysis: Conclusion 

Cardano price analysis is bullish today as we have seen consolidation around $0.48 after a strong retrace of over 12 percent. Therefore, we assume that a higher low has been set, and ADA/USD is about to push higher again later in the weekend. 

While waiting for Cardano to move further, see our articles on Siacoin wallet, Pi Wallet, and LTC Wallet Review.

Disclaimer. The information provided is not trading advice. holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Credit: Source link

Leave A Reply

Your email address will not be published.