Cardano price started a fresh decline from the $0.415 resistance. ADA could drop further if there is a clear move below the $0.38 support.
- The ADA price is struggling to gain pace above $0.40 and $0.415 against the US Dollar.
- The price is trading below $0.400 and the 100 simple moving average (4 hours).
- A major bearish trendline is forming with resistance close to $0.398 on the 4-hour chart of the ADA/USD pair (data source from Kraken).
- The pair could start a decent rise if it breaks through the $0.400 resistance zone.
Cardano’s ADA price meets resistance
Over the past week, Cardano price made a number of attempts to clear the $0.415 resistance. However, the bulls struggled to gain strength for a sustained move above $0.415.
As a result, there was another drop towards the $0.38 support. A low is forming near $0.3800 and the price is showing a few bearish signals, similar to Bitcoin and Ethereum. It is now trading below $0.400 and the 100 simple moving average (4 hours).
On the upside, immediate resistance is near the $0.398 zone. A major bearish trendline is also forming with resistance near $0.398 on the 4-hour chart of the ADA/USD pair.
The trendline is close to the 50% Fib retracement level of the recent drop from the $0.4149 swing high to the 0.3800 low. The next major resistance forms near the $0.400 zone or the 100 simple moving average (4 hours).
The 61.8% Fib retracement level from the recent fall from the $0.4149 swing high to the 0.3800 low is also near $0.4015. If there is an upside break above the $0.402 and $0.405 resistance levels, the price could start a decent rise.
Source: ADAUSD at TradingView.com
In the said case, the price might even cross the $0.415 resistance zone. The next key resistance could be at $0.432, above which $0.45 could test.
Lose more?
If the price of Cardano fails to break above the $0.400 and $0.415 resistance levels, it could move further down. Immediate support on the downside is near the $0.380 level.
The next major support is near the $0.365 level. A downside break below the $0.365 level could open the door for another decline towards $0.350. The next major support is near the $0.325 level.
Technical indicators
4am MACD – The MACD for ADA/USD is gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for ADA/USD is now below the 50 level.
Main Support Levels – $0.380, $0.365 and $0.350.
Key resistance levels – $0.400, $0.415 and $0.432.
