The ADA/USD price shows recovery after going through a massive loss yesterday, as per Cardano price analysis. The price stooped as low as $0.471 from $0.631 in a heavy sell-off that lasted for the past two days. The market crash was unexpected as the crypto pair was already at a loss for the past week, and the most recent downtrend further damaged the coin’s value; however, ADA/USD survived the pullback as it managed to get support at $0.471 and the price has recovered up to $0.582 today. ADA is moving upwards towards the next resistance present at the $613 level.
ADA/USD 1-day price chart: Bulls aim for $0.613 next
After yesterday’s market sell-off, the 1-day price chart for Cardano price analysis shows the ADA/USD has recovered back to $0.582 at the time of writing, as the coin continues to get the positive market sentiment. ADA/USD reports a gain in value amounting to 42.62 percent over the last 24 hours but is still down by 26.69 percent if compared over the past seven days. The trading volume has increased by 5.87 percent, providing market dominance of 1.53 percent to ADA. As the price has recovered today, the market cap has also improved by 43.93 percent.
The volatility for ADA/USD pair is quite high, as the price is moving towards the center of the Volatility indicator, the Bollinger bands mean average is forming at $0.748, whereas the upper limit of the Bollinger bands at $0.989 suggests resistance for ADA/USD, and the lower limit at $0.507 suggests support for ADA price function.
The price is trading below the moving average (MA), which is present at the $0.652 level. The relative strength index (RSI) also shows improvement after diving down sharply yesterday. The RSI curve has turned upwards again and is trading at index 35 in the lower half of the neutral zone, indicating buying activity in the market.
Cardano price analysis: Recent developments and further technical indications
The 4-hour Cardano price analysis reveals the price is recovering at a good pace as the bulls are in momentum today after the price stooped to the extreme lower levels. The support indicated by the Bollinger bands lower limit at $0.407 has provided a cushion to the price function. As can be seen for the past few hours, the bullish momentum has been intensifying, so chances for further recovery are also there.
The volatility has been on the increase for the past few days as the Bollinger bands show expansion, and the price is trading above the mean average line of the Bollinger bands and the moving average. The RSI shows huge improvement as it has recovered well after sinking in the undersold region; now, the upwards trending line of RSI on the 4-hour chart has reached index 49, which indicates a rise in buying activity.
Cardano price analysis conclusion
The Cardano price analysis suggests the market sentiment is very positive today, and chances are there for a further upwards price movement. But traders should expect the ADA to correct at any time today before exposing further highs. We expect the cryptocurrency to maintain above $0.500 for the coming hours.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
Source: https://www.cryptopolitan.com/cardano-price-analysis-2022-05-13/