Cardano

Resistance

Reversal

<p style="text-align: justify">You can also read this news on BH NEWS: <a href="https://en.bitcoinhaber.net/cardanos-price-rallies-but-faces-critical-resistance-levels" rel="noopener noreferrer nofollow">Cardano’s Price Rallies but Faces Critical Resistance Levels</a><br></p>
<p style="text-align: justify">The <a href="https://en.bitcoinhaber.net/cryptocurrency-market-soars-as-bitcoin-and-ethereum-reach-new-heights-in-2023" rel="noopener noreferrer nofollow">cryptocurrency</a> market has recently witnessed a significant recovery in the price of <a href="https://en.bitcoinhaber.net/crypto-markets-potential-recovery-linked-to-upcoming-legal-proceedings" rel="noopener noreferrer nofollow">Cardano</a> (<a href="https://en.bitcoinhaber.net/cardanos-ada-price-soars-with-strong-market-growth-and-ecosystem-developments" rel="noopener noreferrer nofollow">ADA</a>), with a 20% increase over the span of a week, soaring from a critical support level. This resurgence saw the digital currency’s value climb to $0.683, energized from a dip to the 100-day EMA threshold at $0.57.</p>
<h2 id="cardano-s-sell-off-signals-at-elevated-prices">Cardano’s Sell-Off Signals at Elevated Prices</h2>
<p style="text-align: justify">In spite of ADA’s recovery, the current market dynamics suggest that the price may face selling pressure at the rejuvenated levels. The cryptocurrency had previously succumbed to a correction phase that commenced in mid-March, which shaved nearly 30% off its value. This trend was evident as ADA’s price diminished to $0.569 after failing to sustain higher prices around $0.81.</p>
<p style="text-align: justify">Although ADA has managed to rally to $0.636, analysts caution that the supply zone near $0.683 may be a cue for investors to sell into strength. Such behavior could set the stage for a potential retraction to the $0.57 support level, hinting at a precarious balance between recent gains and the threat of a downturn.</p>
<h2 id="technical-indicators-hint-at-potential-reversal">Technical Indicators Hint at Potential Reversal</h2>
<p style="text-align: justify">Technical analysis of ADA’s daily chart suggests that a reversal of the upward trend could be brewing, with the possibility of a head and shoulders pattern—a bearish indicator—forming. This pattern may suggest sellers are gaining the upper hand and could foreshadow a continuation of the correction phase.</p>
<p style="text-align: justify">Such a bearish pattern would be confirmed if ADA’s price descends below the crucial $0.57 neckline support. A breach of this level can also undermine the token’s adherence to a five-month ascending trend line, potentially dragging the price further down to $0.46, which equates to a significant 18% loss from current levels. Nevertheless, should the price uphold above this rising support, it could nullify the bearish outlook and preserve the momentum gained from the recent price surge.</p>
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on BH NEWS: </span> <a href="https://en.bitcoinhaber.net/cardanos-price-rallies-but-faces-critical-resistance-levels" rel="noopener noreferrer nofollow">Cardano’s Price Rallies but Faces Critical Resistance Levels</a></h5>

Cardano’s Price Rallies but Faces Critical Resistance Levels

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