The price of Cardano (ADA) is in a bearish momentum as the cryptocurrency falls to the low of $0.3567. On October 13, ADA fell sharply to the low of $0.3491 and pulled back.
Last week, the altcoin moved above the support of $0.3500. ADA/USD has reached a bearish exhaustion. Price indicators have shown that Cardano has fallen into the oversold zone of the market.
Nevertheless, the current support is the historical price level of January 18, 2021. In 2021, the current support was held when the cryptocurrency value resumed a new uptrend. Today, the price of ADA is fluctuating above the support of $0.3500. Cardano will initially recover to the range between $0.40 and $0.60 if the current support holds. On the downside, sellers are unlikely to continue selling pressure as the market has reached the oversold area.
Cardano indicator analysis
Cardano has dropped significantly to the 25 level of the Relative Strength Index for the 14 period. This indicates that the selling pressure has reached the oversold area. It is below the 16% range of the daily stochastic. The price bars of the cryptocurrency are well below the moving average lines, which indicates a further decline.
Technical indicators
Key Resistance Zones: $0.60, $0.70, $0.80
Key Support Zones: $0.50, $0.40, $0.30
What is the next move for Cardano?
The price of Cardano has reached bearish exhaustion as the altcoin hovers above the $0.35 support. The cryptocurrency has fallen to the previous low of $0.3491. The uptrend will resume if it holds above the current support.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing in funds.
Source: https://coinidol.com/cardano-0-40-support/