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Cardano Price Forecast: ADA/USD rally ends in bloodshed, will $0.10 hold?

  • Cardano retreats from the two-year high as buyers struggle to find support above $0.10.
  • ADA/USD declines will find support at $0.1150, $0.10, the 50-day SMA and $0.0800.

Cardano is retreating fast from the recently traded two-year high. The cryptoasset has been on an upward roll since June with the formidable gains attributed to the launch of the new Shelly mainnet. In addition to that, Coinbase custody announced the support for ADA.

Following the transition to the Shelly, which is likely to take a month, Cardano hit highs above $0.10. The rally continued and stepped above $0.14. However, further gains targeting $0.15 were cut short, instead, ADA/USD is in the middle of a gains-trimming exercise. At the time of writing, ADA/USD is trading at $0.1165.

The downtrend is supported by the RSI’s downward traction. If the RSI keeps retreating from the overbought, it would be a matter of time before ADA hits the support at $0.10. On the other hand, all is not lost for the bulls owing to the fact that the MACD is holding in the positive region. Moreover, bullish divergence hints that buying activities are still present.

If losses continue, support is anticipated at $0.10, the accelerated trendline (broken line), the 50-day SMA, $0.0800 and the main trendline. For now, attention is channeled at defending the short term support at $0.1150 which would then help to shift the focus back to $0.15.

ADA/USD daily chart

ADA/USD price chart

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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