Cardano price began a downward correction from the $1.1780 zone. ADA is consolidating and facing headwinds near the $1,180 and $1,200 levels.
- The price of ADA began a decent rise from the $0.910 support zone.
- The price is trading above $1,050 and the 100-hour simple moving average.
- On the hourly chart of the ADA/USD pair, a major bearish trend line is forming with resistance at $1,160 (data source from Kraken).
- The pair could start a new rise if it breaks through the $1,180 resistance zone.
Cardano price is expecting a breakout
After forming a base above the $1.00 level, Cardano began a new rally, like Bitcoin and Ethereum. ADA was able to rise above the resistance levels of $1.050 and $1.120.
However, bears were active below the $1.20 level. The maximum was formed at $1.1781, and now the price is consolidating growth. There was a slight decline below $1,120. The price moved below the 23.6% Fibonacci retracement level on an upward move from a swing low of $0.910 to a swing high of $1.1781.
Cardano price is currently trading above $1,050 and the 100-hour simple moving average. On the other hand, the price may face resistance near the $1,150 zone. On the hourly chart of the ADA/USD pair, a major bearish trend line is also forming with resistance at $1,160.
The first resistance is near $1,180. The next key resistance could be $1.20. If there is a close above the $1.2 resistance, the price could start to rise strongly. In this case, the price may rise to the area of $1.2280. Further growth may require a move towards $1,250.
Another ADA cut?
If Cardano price fails to rise above the $1,180 resistance level, it may begin another decline. The nearest support during the fall is near the $1.10750 level.
The next major support is near the $1.050 level or the 50% Fibonacci retracement level of the upward move from the $0.910 swing low to $1.1781 high. A break below $1.050 could open the door to a test of $1.00. The next major support is near the $0.920 level, where the bulls could emerge.
Technical indicators
Hourly MACD – The MACD for ADA/USD is gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is currently below the 50 level.
The main support levels are $1,070 and $1,050.
The main resistance levels are $1,160 and $1,180.
