ADA Facing Critical Resistance Following 7% Weekly Gains

Key Support levels: $0.85

Key Resistance levels: $1, $1.1

ADA appears to be consolidating in a tight range between the $1 resistance and $0.85 support. While the indicators are turning bullish, the price action lacks momentum to take the cryptocurrency higher at the time of this post. Nevertheless, buyers may try to break above $1 again soon.

ADAUSDT_2022-03-02_19-31-11
Chart by TradingView

Technical Indicators

Trading Volume: The volume remains healthy, but appears insufficient to take ADA above $1 at this time.

RSI: The daily RSI has failed to move above 50 points and if ADA’s price cannot go above $1, then the RSI would confirm a lower high which could lead to a more significant pullback.

MACD: The daily MACD turned bullish yesterday. This is encouraging, but the momentum in the past month has been rather misleading and ADA’s price made lower lows.

ADAUSDT_2022-03-02_19-30-32
Chart by TradingView

Bias

The current bias is neutral. ADA seems unable to move away from its current range.

Short-Term Prediction for ADA Price

While the MACD would suggest ADA is ready to move above $1, the price action and volume do not give the same signal. ADA may need more time before a decisive move takes place.

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Cryptocurrency charts by TradingView.

Source: https://cryptopotato.com/cardano-price-analysis-ada-facing-critical-resistance-following-7-weekly-gains/