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Cardano Price Prediction: ADA bulls attempt retest of $1.50

  • Cardano price is currently hovering above the trading range’s midpoint at $1.304.
  • The MRI’s sell signal indicates a minor pullback to $1.251 could be around the corner.
  • ADA could invalidate the bullish thesis if it slices through the $1.149 support level.

Cardano price is currently hovering around a crucial support level, but a minor pullback before a new leg up seems likely. Therefore, investors can expect ADA to correct critical demand barriers.

Cardano price looks bullish

Cardano price rallied 37% since July 20, but the last leg up failed to create a higher high. Although this might seem bearish, the lower high could be preparation for the incoming correction after the recent exponential climb.

Moreover, the Momentum Reversal Indicator (MRI) has flashed a sell signal in the form of a red ‘one’ candlestick on the 6-hour chart. This technical formation suggests that a one-to-four candlestick correction may be in the cards.

If the selling pressure increases, leading to a correction, investors might see ADA drop below the 50% Fibonacci retracement level at $1.304. In some cases, the $1.251 support level seems like the likely candidate for a reversal.

A potential spike in buying pressure around this barrier could kick-start a new uptrend that retests the supply zone ranging from $1.44 to $1.50. This move could represent a 20% climb from $1.251.

ADA/USDT 6-hour chart

ADA/USDT 6-hour chart

While things seem calm for ADA and optimistic, they could go awry if the $1.251 support level is breached. This move would indicate a weak buying pressure and open the path to $1.195 and $1.149.

If the bearish momentum slices through the $1.149 demand barrier, it will invalidate the bullish thesis and trigger further downward movement for the so-called “Ethereum killer.”

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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