Cardano Price Surges, Will The Bulls Hold The Recovery?

At the time this writing, the bulls have moved the Cardano prices up on their chart. Cardano gained 2% in the last day. Over the last week, the price action of the altcoin wasn’t positive as it lost most of the gains in the week.

ADA may see buyer recovery continue to push it beyond its current resistance levels. ADA trades sideways as of the writing.

In the last couple of weeks, Altcoin has been trading between $0.50- $0.44.

Although purchasing strength attempted to rebound on its chart at the time, it was still dominant at the time that this article was written.

Cardano prices are in the $0.44-$.40 support range. Cardano was one of those altcoins which has moved against it.

Bitcoin showed some signs of appreciation in the past 24 hours. ADA bulls can quickly fade out if the coin’s buying strength doesn’t move into the positive zone.

Cardano Price Analysis: One Day Chart

Cardano Price
Cardano price was $0.46 on the 1-day chart. Source: ADAUSD tradingView| Source: ADAUSD on TradingView

At the time this article was written, ADA traded at $0.46. The coin has broken through one of its resistance levels in the past 24 hours.

Cardano’s immediate resistance level was $0.49. The bulls will be able to stay in place for longer periods if they can overcome the $0.49 price threshold.

If buyers don’t come forward, Cardano price will fall to $0.43 and then below the $0.40 mark.

Despite a rising buying power, altcoin trading volume declined in the previous session. This indicates the dominant position of sellers in the market.

Technical Analysis

Cardano Price
Cardano saw an increase in buying pressure over the one-day chart. Source: ADAUSD TradingView| Source: ADAUSD on TradingView

On the one-day chart, there were signs that altcoin was on the verge of recovering. The bulls were predicted by technical indicators.

The Relative Strength Index, which was lower than the half-line at the time this article was written, indicated that buyers were still under greater pressure than sellers.

Cardano prices were below the 20 SMA line. This indicated less demand, as sellers had been driving price momentum.

ADA can be pushed higher by the buyers and could surpass the 20-SMA or 50-SMA lines.

Cardano Price
Source: ADAUSD at TradingView| Source: ADAUSD on TradingView

ADA’s bulls have still not gained momentum on the one-day chart. As long as buyers don’t overpower sellers’ strength, the bulls will not be able to push the price of the altcoin above the $0.49 mark.

Moving Average Convergence Divergence is a measure of price momentum and altcoin price action. MACD went through a bearish crossover, forming red histograms that were sell signals for the coin.

The Directional Movement Index is a measure of the general price direction. As the -DI was higher than the +DI, DMI was less.

The Average Directional Index moved towards 20 which indicates that the price action is picking up momentum.

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