- ADA/USD charts a bull pennant on the 12H chart.
- A test of the $2 mark appears inevitable if the bullish pattern is confirmed.
- RSI has regained upside momentum, well above 50.00.
Cardano (ADA/USD) is extending its recovery this Sunday after a sharp sell-off witnessed a day before.
The seventh most widely traded cryptocurrency is consolidating its stellar advance to a new record high reached Friday at $1.8124. The token has risen about 23% over the past seven days while up 2.50% in the last 24 hours.
ADA/USD: Aims for $2 on a sustained break above key $0.6785 resistance
ADA/USD’s 12-hour chart paints a constructive outlook, as the coin is on the verge of a bull pennant break.
A 12-hour candlestick closing above the falling trendline resistance at $0.6785 is expected to validate the upside break, calling for a test of the measured pattern target at $2.1225.
On its way to the latter, the ADA bulls could be challenged by the lifetime highs, above which the $2 psychological level could act as a powerful resistance.
The Relative Strength Index (RSI) has rebounded, now heading north once again, currently hovering around 66.50. The leading indicator suggests that there is additional room to the upside.
ADA/USD: 12-hour chart
Alternatively, if the sellers return, then the immediate support is seen at the rising trendline support at $1.5706.
Acceptance below the latter could invalidate the bullish formation, which could imply a trend reversal.
The next best safety net for the ADA buyers then awaits at the $1.50 round figure.
Further down, the upward-sloping 21-simple moving average (SMA) at $1.4495 will be on the sellers’ radars
The last resort for the optimists is envisioned at Thursday’s low of $1.4307.
All in all, the path of least resistance for the ADA price appears to the upside.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
TRON gains 10% in 2024, supply of stablecoins reaches over $50 billion in Q1
TRON, a blockchain-based digital platform, has seen positive growth in the first quarter of 2024, as seen in a Messari report. TRON noted gains across several metrics like market capitalization, revenue and total value locked.
XRP hovers near $0.50 as Ripple CTO addresses concerns related to stablecoin launch
XRP is hovering near $0.53 on Friday, spending nearly all week below $0.55. Ripple CTO David Schwartz addressed concerns on stablecoin and XRP utility on Thursday.
Terraform Labs set to restrict access for users in the US after recent ruling in SEC lawsuit
Blockchain company Terraform Labs said Thursday that it will restrict access to some of its products and services for US-based users as it expects to receive a court order soon in light of its legal battle against the US Securities and Exchange Commission (SEC).
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Bitcoin: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s (BTC) recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.