Cardano (ADA) forms bullish sentiments against tether (USDT) as the price of Cardano (ADA) aims to go higher with an imminent breakout above the current resistance. The price of Bitcoin (BTC) showed great strength after closing the weekly candle on a high, with the price holding above $21,700 for the first time in weeks. This has influenced most crypto assets, including Cardano (ADA), as the price aims to break out. (Data from Binance)
Cardano (ADA) Price Analysis On The Weekly Chart
The price of ADA has had a tough time maintaining the bullish momentum it has shown in recent months as the price was rejected from the $3 area acting supply zone for most sellers.
ADA has since struggled to discover the bullish momentum it experienced, but with the upcoming “Vasil Hard Fork,” there has been growing sentiment of the price of ADA going to as high as $1. Vasil Hard Fork is the latest and highly anticipated upgrade on the Cardano network to improve the usability and scalability of the network.
The price of ADA on the weekly chart looks good as the week closed bullish with more bullish sentiments. The price of ADA is faced with resistance to breaking above $0.54 as the price is faced with resistance to trend higher.
ADA’s price needs to break above this region for its price to trend higher to $0.6 and possibly $1. The price of ADA must break and hold above this resistance for a better chance to trade higher. If the price of ADA breaks out with good volume, we could see the price going higher. Should the price of ADA fails, we could have a retest of $0.4, acting as a good demand zone for price sell-off.
The overall sentiment ahead of ADA’s upgrade is bullish, and we could expect more upside for the price of Cardano.
Weekly resistance for the price of ADA – $0.6-$1.
Weekly support for the price of ADA – $0.4.
Price Analysis Of ADA On The Daily (1D) Chart
The daily timeframe for ADA prices looks bullish, with prices looking to close the day on a high after a good weekly candle close. ADA bounced off from a daily low as the price broke above the 50 Exponential Moving Average.
The price of ADA formed a bullish symmetric triangle and broke out of this range with a good volume, with the price looking to flip the first major resistance on the 1D timeframe at $0.56.
If the price of ADA fails to break above $0.56, we could see the price retesting the lower region of $0.5 to build on more volume for a possible rally above that price region.
On the daily timeframe, the price of ADA is currently trading at $0.514, holding above the 50 Exponential Moving Average (EMA). The price of $0.5 corresponds to the 50 EMA, which supports the price of ADA.
The price of ADA needs to flip the 200 EMA to assume a strong bullish price movement. The price of $0.7 corresponds to the 200 EMA and is just below the 38.2% Fibonacci (Fib) retracement value for higher price movement.
The Relative Strength Index (RSI) for ADA is above 50 on the daily chart, indicating high buy order volume.
Daily resistance for the ADA price – $0.6-0.7.
Daily support for the ADA price – $0.5.