TL;DR Breakdown
- ADA tests support area around $1.15 – $1.2.
- Next resistance at $1.34.
- Cardano resists further downside.
Today’s Cardano price prediction is bearish as the market continues to retrace towards a strong support area around $1.15 – $1.2. If ADA rejects further downside, we could see the market reverse this week and potentially move towards another retest of the previous all-time high resistance of $1.48.
Cryptocurrency heat map. Source: Coin360
The overall market is in the red today as practically every major cryptocurrency is in the red. From the majors, the largest loss is seen for Polkadot (DOT) and Cardano (ADA) as they have lost 3 and 3.5 percent, respectively. Best performance is seen for VeChain (VET), which has moved counter to the overall market and is up by 7.5 percent. Bitcoin and Ethereum remain relatively flat with -1.29 and -0.48 percent.
Cardano price prediction: Cardano slowly retraces further, tests support around $1.15 – $1.2
ADA/USD opened at $1.185 today, after a consolidation yesterday and an overall bearish price action over the end of last week. The Cardano price has retraced towards a previously strong resistance area around $1.15 – $1.2, which will now likely act as a support. If a further downside is rejected, we are likely to see Cardano continue higher later this week.
Cardano price movement in the last 24 hours
The ADA/USD price moved in a range of $1.16 – $1.22, indicating low volatility and lack of interest as of now. This is also reflected in the 24-hour trading volume, which has decreased by 22 percent and totals $3.42 billion. Market cap stands at $37.7 billion, ranking ADA in 5th place among top cryptocurrencies.
ADA/USD 4-hour chart – ADA test previous resistance as a support
On the 4-hour chart, we can see Cardano slowing down its bearish momentum as the market has approached strong support around the $1.15 – $1.2 area. Further downside is rejected as of now, meaning that we could see the market reverse back to the upside in the upcoming days.
ADA/USD 4-hour chart. Source: TradingView
Overall, Cardano has slowed down over the past weeks as mentioned in our previous Cardano price prediction. After setting a new all-time high at $1.48 on the 27th of February, Cardano did retrace by more than 30 percent over several weeks until it finally found support at the $1 mark.
From there, Cardano price retested the $1 level early last week and started pushing higher again. The previous all-time high of $1.48 was retested with a failure to break through, indicating that the market is not yet ready for further highs.
Right now, Cardano is retracing lower again and has reached an important previous resistance area around $1.15 – $1.2, which should now act as very strong support. So far, this area is holding the Cardano price from further downside, indicating that we could see a reversal back to the upside around this price area.
Therefore, if ADA/USD continues to consolidate around the current price area, we should see a reversal back to the upside soon. The first resistance level for the price of ADA is located at $1.34. If reached from the current market price, it would mean a potential gain of over 12 percent. From there on, the only resistance that remains is seen at the all-time high of $1.48, which, if reached from the current price level, would mean a potential gain of 25 percent.
Alternatively, if Cardano breaks below the $1.15 mark, we will likely see the next major support level at the $1 mark retested again. If the support level is reached, the overall price action structure for Cardano would start to look even more bearish.
Cardano Price Prediction: Conclusion
Cardano price prediction is bearish as we expect the market to continue consolidating around the current support area for the upcoming 24 hours. If the Cardano price can reject further downside and respect the support, a reversal will likely be seen by the end of this week. The first target to the downside, in this case, would be the minor resistance at $1.34.
While waiting for Cardano`s reversal, read our comparison article on Litecoin vs Bitcoin as well as our guide on Bitcoin halving. If you want to see a long-term price prediction on another great altcoin – see our ZRX Price Prediction
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
