ADA’s price recently took a rebound from its current support level as was indicated in a previous analysis, however the price is yet to attain its target. If it is successful in crossing above the 100 EMA level the path of least resistance for the ADA token will be bullish. The price has been respecting its support line for the past 5 months. It is also making a double bottom and three white soldiers’ candlestick patterns. Bulls have a few factors in their favor which strengthens the probability of a bullish recovery in the near future.
The present value of Cardano is $0.357. It has a total market cap of $13.15 Billion.
A Rise of TVL Value in ADA Token, Stagnant Active Users
The TVL value is observing a substantial increase after its recent downfall near the last November. The increase in these metrics are indicating that the token is regaining the buyer’s interest. The current TVL of the ADA has increased since the last analysis The TVL of the coin is at $171.14 Million which is seeing a decline of 5.15% in 24-hour trading value.
The Active User parameters have been stagnant which indicates new users are not taking keen interest. Presently the total Active Users are around 80K.
Technical Analysis of ADA Token
The RSI line is presently crossing above the median line after facing multiple rejections from 14 SMA points. The value of the RSI line as of now is 51.86 points; the 14 SMA is providing support at 44.46 points. The RSI curve will have to break above the 14 SMA and median line with strength in order to make a strong recovery.
The stochastic RSI is reaching the supply levels after taking a reversal from the median line. The %K line is near 77.23 points whereas the %D line is lagging behind it. The current value of stochastic RSI is 77.23 points.
Conclusion
According to the analysis, the ADA price at present is trading near 100 EMA after taking a rebound from the trendline. The recent support level for the Cardano token is around $0.3400. The crucial resistance for the token is $0.4500. Whereas the current resistance for the price of ADA is $0.4000.
Technical levels –
Support – $0.3400
Resistance – $0.4000 and $0.4500
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/05/28/cardano-price-prediction-will-ada-succeed-in-bullish-pursuit/