Cardano Price Analysis: ADA/USD beats the market with 2.3% gains
- Cardano gains the ground but fails to pass $0.1000.
- The downside correction may be extended towards 1-hour SMA200.
Cardano (ADA) is the 8th largest digital asset with the current market value of $2.57 billion and an average daily trading volume of $256 million. The coin has gained over 2.3% in the recent 24 hours, which is the best result out of top-10 coins. Despite the recovery, ADA/USD stays below the critical resistance of $0.1000 that has limited the upside momentum since the weekend.
ADA/USD: Technical picture
On the intraday charts, ADA is hovering around the upper line of the recent consolidation channel that coincides with the above-mentioned psychological barrier $0.1000. Once it is out of the way, the upside is likely to gain traction with the next focus on $0.1025 (the recent recovery high hit on July 3 and the upper line of the weekly Bollinger Band). This level separates us from $0.1064, which is the highest level of 2019.
On the downside, the first support is created by 1-hour SMA50 at $0.0977. If it is broken, a stronger barrier of $0/0960 will come into focus with the combination of 1-hour SMA100 and the middle line of the 1-hour Bollinger Band locate don approach. Also, this level served as a backstop for the sell-off during the weekend. a sustainable move below this area will bring more sellers to the market and push the price towards $0.9040 (the lower line of the 1-hour Bollinger Band) and $0.9000 (1-hour SMA200).
ADA/USD 1-hour chart
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Author
Tanya Abrosimova
Independent Analyst
