Cardano (ADA) Price Analysis: Bears In Control Below $0.5
August 23, 2022Cardano price is struggling below $0.50 against the US Dollar, similar to bitcoin. ADA price could gain bearish momentum if it clears the $0.436 support.
Cardano Price Analysis
This past week, cardano price faced a strong rejection near the $0.600 zone against the US Dollar. The ADA/USD pair formed a high near $0.594 and started a major decline.
There was a clear move below the $0.550 and $0.520 support levels. Besides, there was a break below a major bullish trend line with support near $0.540 on the 4-hours chart. The price even declined below the $0.500 support and the 55 simple moving average (4-hours).
A low was formed near $0.434 and the price is now consolidating losses. It corrected a few points above the $0.450 level. On the upside, an immediate resistance is near the $0.472 zone.
The 23.6% Fib retracement level of the downward move from the $0.594 swing high to $0.434 low is also near the $0.472 zone. The next major resistance is near the $0.500 level and the 55 simple moving average (4-hours), where the bears might take a stand.
The main hurdle is near $0.515. It is near the 50% Fib retracement level of the downward move from the $0.594 swing high to $0.434 low. A clear upside break above the $0.515 level might send the price towards the $0.550 resistance. Any more gains could start a steady increase towards the $0.60 level in the near term.
On the downside, an immediate support is near the $0.440 level. The next major support is near the $0.434 level, below which the price may perhaps decline towards the $0.40 support level. Any more losses might call for a test of the $0.380 level.
Cardano (ADA) Price
The chart indicates that ADA price is now trading below $0.50 and the 55 simple moving average (4-hours). Overall, the price could continue to move down if it fails to stay above the $0.436 support zone.
Technical Indicators
4 hours MACD – The MACD for ADA/USD is now losing pace in the bearish zone.
4 hours RSI – The RSI for ADA/USD is now below the 50 level.
Key Support Levels – $0.434 and $0.400.
Key Resistance Levels – $0.500 and $0.515.
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