Demand Pressure at Local Support Sets Cardano Price For 10% Jump

ADA price Prediction: A sustained rally in Cardano price has breached several minor resistance levels since last month, acting as a stepping stone for crypto buyers. Thus, as the bull trend continues the coin price recently offered another breakout opportunity from the $0.38 barrier. The prices retesting the breached resistance with the formation of a morning star candle pattern indicated that altcoin possesses a higher possibility to prolong the ongoing recovery.

Key Points: 

• The Cardano price may face intense supply pressure at the $0.427 mark.
• The formation of a famous bullish reversal pattern called inverted head and shoulder prepares ADA price for a significant uptrend above $0.427
• The intraday trading volume in the ADA coin is $198.2 Million, indicating a 2.23% loss

Source- Tradingview

On March 31st, the rising Cardano coin price gave a bullish breakout from a horizontal resistance of $0.38-$0.377. This breakout is a sign that buyers are confident about reaching higher despite the growing FUD in the market.

Since last week, the coin price hovering between the $0.38 breached resistance, providing buyers a new launchpad to bounce off to higher levels.  The lower price rejection at the aforementioned level sign of increasing demand pressure as sidelined buyers enter the market.

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Thus, with sustained buying the ADA price will likely increase by 10% and hit the $0.427-$0.42 multiple-month resistance.  Furthermore, the mentioned resistance is also the neckline resistance of a famous bullish reversal pattern called the inverted head and shoulder pattern. 

Therefore, a potential breakout from $0.427 would be an early sign of a trend change.

Technical Indicator

Relative Strength Index: Similar to price action, the daily RSI slope which reflects the current strength of the ongoing trend is gradually rising to the higher level of bullish territory. This growth signals a sustained buying activity in Cardano.

Bollinger Band: The long traders can use the midline of the Bollinger Band indicator as a key support to indicate the recovery rally will continue. Thus, a breakdown from it will signal for price reversal.

Cardano Coin Price Intraday Levels

• Spot price: $0.389
• Trend: Bullish
• Volatility: Low
• Resistance level- $0.42 and $0.48
• Support level- $0.38-0.377 and $0.3