Cardano Price Prediction: ADA recovery could yield 10% gains
- Cardano price is currently grappling with a crucial level at $2.55 that can decide its fate.
- The 10% upswing will face headwinds at the $2.74 resistance level.
- A breakdown of the $2.40 support floor will invalidate the bullish thesis.
Cardano price is currently in a recovery phase but is hovering around a key barrier. A decisive close above this level could trigger an upswing, but a failure to do so might kick-start a downtrend.
Cardano price at make or break point
Cardano price rose 15% from the September 8 swing low to where it is currently trading, $2.55. However, the resistance barrier at $2.55 is crucial and will help ADA decide directional bias. A decisive 4-hour candlestick close above it is likely to trigger an upswing.
Assuming the bulls manage to close above $2.55, investors can expect Cardano price has a resistance-free path up to $2.74. However, overcoming this barrier and retesting the $2.82 ceiling will complete the 10% uptrend.
A resurgence of bullish momentum here could extend the ascent, but market participants can expect a minor retracement before going on another impulsive run.
ADA/USDT 4-hour chart
Regardless of the optimism, Cardano price needs to overcome the $2.55 resistance barrier and flip it into a support level to have any chance at surging higher. Failing to do this could result in a retracement to the immediate support level at $2.40.
A resurgence of buying pressure at this floor could hold the key in restarting an upswing. Still, if the selling pressure pushes ADA to produce a decisive close below $2.40, it will invalidate the bullish thesis.
In such a case, investors can expect the so-called “Ethereum killer” to crash 8% and retest the support level at $2.21.
Author
Akash Girimath
FXStreet
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.
