Cardano

Read

<ul>
 <li><em>The technical higher timeframe bias was strongly bullish.</em></li>
 <li><em>The liquidation heatmaps highlighted two critical support levels where the bulls could drive another rally from.</em></li>
</ul>
<p><a href="https://ambcrypto.com/search/cardano" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Cardano [ADA]</a> reached a high of $0.68 on the 14th of December before falling lower. Its higher timeframe market structure remained bullish, but a key level of support at $0.6 was not defended in the past few days.</p>
<p>Earlier this week, AMBCrypto <a href="https://ambcrypto.com/cardano-can-surging-development-activity-boost-ada/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">reported</a> that Cardano witnessed a high development activity. The total number of development activity contributors was also high. This would encourage long-term investors that ADA is a good asset to hold.</p>
<h4>The 23.6% extension and beyond have been important</h4>
<div id="attachment_359723" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-359723" decoding="async" class="size-full wp-image-359723" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated.png" alt="Cardano forced to withdraw briefly from a weekly resistance level" width="1940" height="976" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated.png 1940w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated-300x151.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated-1024x515.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated-768x386.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-price-updated-1536x773.png 1536w" sizes="(max-width: 1940px) 100vw, 1940px"></a>
 <p id="caption-attachment-359723" class="wp-caption-text">Source: ADA/USDT on TradingView</p>
</div>
<p>On the 16th of November, ADA reached the 23.6% extension level before facing rejection. It eventually breached this level on the 5th of December, and has noted rapid gains since then.</p>
<p>On the way higher, the 123.6% and 223.6% extension levels have also been respected.</p>
<p>The 123.6% level was retested as support on the 11th of December, and a daily trading session did not close beneath it. Similarly, the 223.6% level rebuffed buyers on the 14th of December.</p>
<p>The $0.595 level was significant back in August 2022, marking a monthly high. The price has reacted from this level on the 4-hour and lower timeframes, marking it as a level to watch.</p>
<p>A drop below $0.512 would be necessary to flip the one-day market structure bearishly. Meanwhile, the OBV has dipped in the past few days but could trend higher.</p>
<p>The RSI fell to 61 to show that bullish momentum was still strong but had slightly weakened compared to a few days ago.</p>
<h4>The liquidity pools to the north could be swept</h4>
<div id="attachment_359721" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-359721" decoding="async" class="size-full wp-image-359721" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock.png" alt="Cardano forced to withdraw briefly from a weekly resistance level" width="1866" height="1014" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock.png 1866w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock-300x163.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock-1024x556.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock-768x417.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-ADA-hyblock-1536x835.png 1536w" sizes="(max-width: 1866px) 100vw, 1866px"></a>
 <p id="caption-attachment-359721" class="wp-caption-text">Source: <a href="https://hyblockcapital.com/liquidationlevel-heatmap" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">Hyblock</a></p>
</div>
<p>AMBCrypto analyzed the liquidation levels heatmap and found that the $0.54 level was a strong candidate for a bullish reversal. However, whether prices would go further south from here was unclear.</p>
<p>The $0.62-$0.64 area also represented a large pocket of estimated liquidation levels.</p>
<p style="text-align: center;">Read <a href="https://ambcrypto.com/predictions/cardano-price-prediction" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Cardano’s [ADA] Price Prediction</a> 2023-24</p>
<p>Hence, it was possible that ADA prices could take a turn upward to $0.64 before moving lower. Further higher, the $0.65-$0.67 zone could also be tested.</p>
<p>Since the bulls were unable to defend the technically important $0.595 level, it was likely that a dip to $0.54 could materialize soon.</p>
<p><i>Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.</i></p>

Here’s Cardano’s prediction as price nears this support zone

AMBCrypto

Other articles published on Dec 21, 2023

Crypto: Ruthless Censorship of Transactions on Ethereum!

Case Study: Navigating Success – How ChainGPT Pad's Incubation Program Propelled DexCheck to Exce...

Can Spot Bitcoin ETFs Get Approved Earlier Than Expected in the US?

Stablecoin Market Soars as USDT Hits Record High; Base Emerges as Top Gainer

AI-Powered SEO Tools: A Comprehensive Guide for 2024

Bitcoin firm above $40K, Michael Saylor says bull run imminent

Join our free newsletter for daily crypto updates!