Cardano price started a decent rise above the USD 0.340 resistance. ADA is now showing positive signs and could rise further towards USD 0.380.
- ADA price started a recovery wave from the $0.3220 level.
- The price is trading above $0.350 and the 100-hour moving average.
- There was a break above a key bearish trendline with resistance at $0.3430 on the hourly chart of the ADA/USD pair (Kraken data source).
- The pair could continue to rise if it holds steady above the $0.3440 support zone.
Cardano price starts steady increase
After forming a base above the USD 0.330 level, Cardano started a decent rise. There was a decent move above the USD 0.3350 and USD 0.340 resistance levels, like Bitcoin and Ethereum.
There was also a break above a key bearish trendline with resistance at $0.3430 on the hourly chart of the ADA/USD pair. The pair even peaked above $0.350. A high was reached at $0.3587 and the price is now consolidating gains.
It is above the 23.6% Fib retracement level of the upward move from the $0.3300 swing low to the $0.3587 high. Cardano price is now trading above $0.350 and the 100-hourly moving average.
On the upside, the price could encounter resistance near the $0.3580 zone. The first resistance is near $0.3620. The next major resistance could be at $0.3650. If there is a close above the resistance at $0.3650, the price could start a strong rally. In the mentioned case, the price could rise towards the $0.380 region. Further gains could require a move towards $0.400.
Are dips supported in ADA?
If Cardano price fails to rise above the USD 0.3580 resistance level, it could trigger a fresh decline. The immediate downside support is near the USD 0.350 level.
The next major support is near the $0.3440 level or the 50% Fib retracement level of the upward move from the $0.3300 swing low to the $0.3587 high. A downside break below the USD 0.3440 level could open the doors for a test of USD 0.330. The next major support is near the $0.320 level, where the bulls could emerge.
Technical indicators
Hourly MACD – The MACD for ADA/USD is gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is now above the 50 level.
Major support levels – USD 0.3500 and USD 0.3440.
Major resistance levels – $0.3580 and $0.3650.
