Key Support levels: $0.79
Key Resistance levels: $0.91, $1
The downtrend intensified today, and ADA’s price fell over 5% on the daily chart, making a lower low. The key support is found at $0.79, and it is critical for buyers to defend this area that saved ADA back in March. A breakdown at this level would allow bears to take ADA in a much deeper correction which could take the price under $0.5.
The resistance is found at $0.91 – it used to act as support last week.
Technical Indicators
Trading Volume: The volume increased today, which signals bears have control of the market right now.
RSI: The daily RSI is quickly approaching the oversold area at under 30 points. The RSI also made a lower low and a lower high, which indicates a clear bearish trend.
MACD: The daily MACD remains bearish, and its moving averages are expanding as they fall – this shows that the selling momentum is increasing, similar to the volume.
Bias
The bias for ADA is bearish.
Short-Term Prediction for ADA Price
Cardano bulls have to do their best to defend the support at $0.79. A failure there could be catastrophic for the bull case that would see ADA quickly lose its valuation. This is the last line of defense where bulls can regain control.
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Cryptocurrency charts by TradingView.
Source: https://cryptopotato.com/ada-price-analysis-following-a-7-weekly-plunge-heres-the-next-support-for-cardano/