Cardano Might Turn Around If It Moves Above These Two Levels
March 09 2023 - 3:00PM
NEWSBTC
Cardano’s price remained bearish at the time of writing. The
altcoin has been on a downtrend for quite some time now. Over the
last 24 hours, ADA fell by 3%, and in the past week, it depreciated
in double digits. The 11% decline on the weekly chart has made ADA
lose some important price floors. The technical outlook for the
altcoin also pointed towards intense bearish strength. For the
altcoin to recover, it must breach its immediate resistance over
the subsequent trading sessions. Related Reading: Bitcoin Miner
Reserve Plunges, Bearish Sign For Price? The buying strength for
the altcoin has remained significantly low since the beginning of
March. Demand for ADA was also low, signifying that accumulation
declined. ADA’s market capitalization dropped, suggesting low
buying strength in the market. ADA was trading within a descending
channel, and its price direction is undecided, so it is uncertain
how soon it can expect a recovery. There are two vital levels that
the altcoin has to breach past for the price to move upwards.
Cardano Price Analysis: One-Day Chart ADA was trading at $0.31 at
the time of this writing. The altcoin witnessed considerable
resistance at the $0.33 level; if it topples above that mark, the
coin can start to recover. ADA’s two important resistance marks
stood at $0.34 and $0.38. Breaching the $0.38 mark will activate
bullish momentum. The next ceiling would then rest at $0.43. On the
other hand, if Cardano slips any further, the next stop for that
would be at $0.29. Falling below $0.29 will bring the coin to
$0.27. The amount of ADA traded in the last session was red,
indicating selling strength. Technical Analysis Buyers’ confidence
has considerably fallen since the last week of February. The
Relative Strength Index traveled below the half-line and above the
20-mark. This indicated oversold tendencies, as ADA was
undervalued. The price of the altcoin moved below the 20-Simple
Moving Average line as it implied that sellers were driving the
price momentum in the market. For ADA to move north, demand for it
has to shoot up. The Directional Movement Index (DMI) displays the
asset’s price direction and the price trend’s strength. DMI was
negative as the -DI line (orange) was above the +DI line (blue).
Related Reading: XRP Price Prediction: Market Sentiment Improves,
Bulls Aim $0.42 or Higher The Average Directional Index (red) shot
past the 30-mark, which signified that the present price trend was
gaining strength. This translates to a further fall in value before
signs of price recovery. The Bollinger Bands measure price
volatility and fluctuation. The bands grew apart, implying
additional price volatility. Featured Image From UnSplash, Charts
From TradingView.com
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