Cardano in a Sideways Trend under $1.40 Overhead Resistance
Cardano (ADA) is in an uptrend but faces rejection at the $1.40 high. Today will be the second time the altcoin is facing resistance at the recent high. In the first rejection, the altcoin dropped to $1.21 low and resumed an upward movement.
Today, the cryptocurrency faces another rejection as ADA falls back to support above the 21-day line SMA. On the upside, if the bulls break the $1.40 resistance, ADA will go high to $1.60. However, if the bulls hold the $1.60 price level high, the cryptocurrency will come out of the bearish trend zone. The upward momentum is likely to resume. Further upside above $1.80 is possible. Currently, the price of ADA has retreated to the low of $1.34. If the bears lower the price below this level, ADA will fall to $1.0 low.
Cardano indicator analysis
Cardano has risen to the 45 level of the Relative Strength Index for period 14. It indicates that Cardano is in the downtrend zone and below the midline 50. Cardano is below the 40% area of the daily stochastic. This indicates that ADA is in a bearish momentum. The cryptocurrency price is below the 50-day and 21-day SMA, indicating that ADA is in the downtrend zone.
Technical indicators:
Major Resistance Levels – $2.00 and $2.20
Major Support Levels – $1.60 and $1.40
What is the next move for Cardano?
Cardano’s upside is facing strong rejection at $1.40. The upside momentum will resume when the current resistance is broken. Meanwhile, on June 23 uptrend; a retraced candle body tested the 50% Fibonacci retracement level. The retracement suggests that ADA will rise to the level of the 2.0 Fibonacci extension or the level of $1.50.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.
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