Cardano price provides a buy signal for a revisit of $0.530

Cardano price shows an affinity to move higher after sweeping the liquidity resting below the previously formed highs. If history is any indication, this is a clear buy signal for ADA investors looking to make a quick buck.

Cardano price ready for more gains

Cardano price has been showing a clear buy signal that comes in the form of liquidity runs of previous swing lows. This move is followed by a quick burst in buying pressure that pushes ADA higher.

Anticipating these swing-low sweeps can help position ourselves better for the next leg. So far, there have been five liquidity runs and the latest one was produced on August 26, with a bullish confirmation produced today.

Since ADA produced a higher high today at $0.455, investors can expect a minor pullback to $0.425 and enter a long position here. The first target for this move would be the $0.460 level, clearing which would open the path for $0.505.

This move would constitute an 11% ascent, but a flip of $0.505 would result in a total gain of 17% after reaching $0.530. This is likely where Cardano price will form a local top before providing the next trade setup.

ADA/USDT 1-day 

On the other hand, if Cardano price produces a daily candlestick close below $0.423, it will create a lower low, indicating that the bears are in control.

This development would invalidate the bullish thesis for ADA and potentially trigger a correction to $0.400, where buyers can give the uptrend another go.