ADA price fails to sustain the gains of the previous two sessions. The price face multiple rejections near the crucial resistance level at $1.24. However, since March 28 ADA price trading in a very tight range with no clear direction.
- ADA price edges lower with modest losses on Tuesday.
- Expect more downside if close below $1.20 on a daily basis.
- The negative divergence in the RSI on a shorter-time frame warns of aggressive bids.
ADA price trades sideways
On the 1-hour timeframe, the ADA price is trading inside a short-term trading range of $1.16 and $1.24. There is no clear directional bias as traders are advised for ‘Buy on Dip’ and ‘Sell on Rising’.
Currently, the price trades just above the critical 50-day EMA (Exponential Moving Average) at $1.19.But remains pressured to move beyond the session’s highs near $1.21.
Now, if the price falls below the session’s low with above average volumes then it could move toward the lower trading range placed at $1.16.
More downside cannot be ruled out toward the low of April 1 of $1.10.
On the contrary, if the price manages to stay around $1.20 then it would push the price toward the upper horizontal resistance level at $1.24.
Furthermore, an acceptance of the mentioned level will open the gates for $1.40 next.
As of press time, ADA/USD trades at $1.91, down 0.52% for the day. The eighth-largest cryptocurrency by market cap holds the 24-hour trading volume at $1,287,343,793 according to the CoinMarketCap.
Technical indicators:
RSI: On the 1-hour chart, the Relative Strength Index gives a negative divergence with the price. Any downtick in the indicator would heighten the probability of the downside risk.
MACD: The Moving Average Convergence Divergence holds above the mid-line but with a receding bullish momentum.
Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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Source: https://coingape.com/markets/cardano-price-prediction-ada-price-breaks-below-1-20-is-1-10-on-the-cards/