Cardano’s ADA Technical Analysis – Bullish Trend at Risk $ADA

Key Highlights

  • Cardano’s ADA gained 9.09% on Thursday, partially reversing Wednesday’s 12.39% fall, to end the day at $0.29399
  • A morning intraday low $0.256 held above the first major support level of $0.2494, while falling through the 23.6 FIB Retracement Level of $0.2775.
  • An end of day $0.29399 high came up short of the day’s first major resistance level of $0.3002.

Cardano’s ADA Price Support

Cardano’s ADA gained 9.09% on Thursday, partially reversing Wednesday’s 12.39% slide, to end the day at $0.29399.

A late sell-off on Wednesday spilled over into the early hours of Thursday, pulling Cardano’s ADA down to an intraday low $0.256, Cardano’s ADA falling through the 23.6% FIB Retracement Level of $0.2775 to test buyer appetite at the 38.2% FIB Retracement Level of $0.2512 before recovering through the afternoon to hit an intraday and end of day $0.29399 Cardano’s ADA fell short of $0.30 levels to test the day’s first major resistance level of $0.3002 and holding back a run at Wednesday’s day high $0.31078.

There was no materially negative news to influence the markets through the day, with Cardano’s ADA following the broader market trend through the day, the support at the 38.2% FIB Retracement Level driven largely by generally more positive sentiment across the market.

For the bulls, the good news will have been the move clear of retracement levels by the day’s end, though for the bull trend formed at 6th April’s swing lo $0.14 to continue, a move back though to $0.30 levels will be needed later in the day today.

At the time of writing, Cardano’s ADA was down 2.39% to $0.286, the declines coming amidst a broad market sell-off in the early part of the day as investors locked in gains from Thursday.

The morning’s $0.2839 low and $0.29399 high left the day’s major support and resistance levels untested, with Cardano ADA’s hold above the 23.6% FIB Retracement Level of $0.2775 an important one with the broader market in the red.

For the day ahead, Cardano’s ADA would need to move through the start of the day’s $0.23999 high to have a run at the day’s first major resistance level of $0.3067 and Wednesday’s $0.31078 high, though sentiment will need to see significant improvement for Cardano’s ADA to move back through to $0.31 levels.

Failure to move through to $0.30 levels to test the day’s first major resistance level could see Cardano’s ADA take a bigger hit later this afternoon, though we can expect direction from Bitcoin through the day to have an influence on Cardano’s ADA and the broader market.

It’s been a mixed bag this week, but the bull trend remains intact and should support an afternoon recovery, barring negative news hitting the wires.

Looking at the Technical Indicators

Major Support Level: $0.2687

Major Resistance Level: $0.3067

Fib 23.6% Retracement Level: $0.2775

Fib 38% Retracement Level: $0.2512

Fib 62% Retracement Level: $0.2088

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