Cryptocurrencies

Analysis: Cardano (ADA) makes another attempt to reach the price of 0.57 dollars


Cardano makes a nice pump today. The coin is up more than 6%, and the coin appears to be starting a move to reach $0.57. To achieve this, the currency still has to move a little further. Let’s look at the graphs.

Banner Cardano 1

The big picture

To get a good idea of ​​ADA’s price history, it is good to take a large chart (such as the monthly or weekly). Below we see the graph where each candle represents a week. This makes the most important price levels visible.

These are shown in the graph above as red zones, a blue zone and a blue line. These levels are all equally important, but for now we are only going to focus on the blue and red zones. The upper zones only become important when ADA breaks through the other resistances.

At the moment the (lower) red zone is the most important support. This is between a rate of 0.39 and 0.46 dollars, and has caused a price change several times. ADA has just bounced off this, leaving the coin trading at a price of $0.49. If the currency falls again, the red zone will continue to provide support.

However, the blue zone (around $0.57) does the opposite. The currency has fallen with considerable force here. This is a harbinger that the coin may have a hard time if the price comes back here. There may still be a lot of sales orders waiting.

The short-term price

But which direction is ADA heading in sooner? To give you a better idea of ​​this, let’s take a quick look at Cardano’s daily chart. Here we see the same levels as in the first graph, along with two new green lines. The latter are drawn to indicate a price movement.

ADA does not make obvious higher heights or lower lows. Instead, the coin makes a converging move. This usually means that ADA is getting ready for a bigger movement. It is just not known which way, this depends on which line fails.

Breaking one of the green lines will signal the start of further movement. And since ADA has bounced off the red zone, a break from the top green line seems a little more likely, but keep an eye on the price just to be sure!

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