Cardano price analysis could turn bearish soon, as today’s price action saw the token consolidating around the $0.64 mark. After posting a series of successive green candlesticks on the daily chart, ADA price seemed to face some seller pressure at the current trend. The 25 percent rise over the past week has led ADA on the cusp of the $0.65 resistance and a price correction now seems to be in order.
The 24-hour trading volume dropped more than 16 percent, suggesting minimal buyer momentum in the market. As soon as price moves below the $0.63 mark, the bearish sentiment is expected to take over the ADA market where traders will look to book profits and push price down to as low as $0.55.
The larger cryptocurrency market saw major cryptos posting mixed results, as Bitcoin dropped down to the $30,000 mark while Ethereum stayed put at $1,800. Among leading Altcoins, Ripple consolidated up to $0.40 with a minor uptrend, the same as Dogecoin at $0.07. Solana and Polkadot recorded increments worth 3 and 2 percent, respectively, to move up to $40.21 and $9.25, each.
Cardano price analysis: RSI approaching overbought zone on daily chart
On the 24-hour candlestick chart for Cardano price analysis, price can be seen forming an ascending triangle over the past week, recording a 25 percent increase in price. Since the start of the month, ADA price has reached as high as $0.67 in pursuit of the $1 mark, but can be seen facing stiff resistance around the current trend at $0.65. At this point, price is trending above the crucial 50-day exponential moving average at $0.59. ADA will have to break the $0.65 resistance and maintain above moving averages in order to push towards the next resistance at $0.82.
The 24-hour relative strength index (RSI) can also be seen approaching the overbought zone at 55.44 and is expected to correct from this point. The 16 percent drop in trading volume is also reminiscent of the expected correction. However, the moving average convergence divergence (MACD) continues to form higher lows above the neutral zone and shows bullish signs. Over the next 24 hours, a daily close above and around $0.69 could propel price up to the upward resistance cap at $0.82. However, bears will look to slice through the 100-day moving average to push price 10 percent down to $0.55.
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Source: https://www.cryptopolitan.com/cardano-price-analysis-2022-06-09/