Cardano (ADA) retreated as short-term traders took profit near the $1.22 high. After a brief consolidation, ADA rebounded off the $1.01 demand zone to reach highs of $1.26 on Feb. 8 before the price was subsequently rejected. The present pullback might reverse near the origin of the previous price climb at $1.01. At the time of publication, ADA was trading slightly down at $1.085, after marking intraday lows at $1.03. After 3 weeks of going live, Cardano’s SundaeSwap announces it has reached a milestone of over 75 million ADA traded. IOHK announces an update proposal process to increase the per-block memory units limit for Plutus scripts on the Cardano mainnet. The per-block Plutus memory units limit will increase from 50M to 56M at the epoch boundary on Feb. 14, IOHK says.
Key Levels
Resistance Levels: $1.50, $1.35, $1.80
Support Levels: $1.00, $0.092, $0.089
ADA/USD Daily ChartThe ADA/USD pair is testing the major demand zone around $1 from the daily chart. This comes as the current pullback nears the origin of the previous climb near $1.01. The bulls might be tempted to buy the dip. The MA 50 at $1.22 would be the first barrier to lift before they could turn the downbeat inertia around.
A rebound and then a close above this key level would lead to a bullish reversal towards the daily resistance at $1.64. Alternatively, a bearish breakout below the key $1 level could jeopardize the ADA/USD pair’s outlook. It could also trigger a sell-off towards the psychological level of $0.90.
ADA/USD 4-Hour ChartCardano remains in a tight consolidation range on the 4-hour chart. A break above or beneath the consolidation range might determine the next direction. Otherwise, if Cardano defends support at the $1.03 base and the price returns above the near convergence point of the moving averages around $1.16, the first resistance could come at the $1.26 obstacle.
Climbing from here, buyers may battle the $1.64 level, before having to deal with the $1.80- $2 range. To summarize, A break above $1.26 might be necessary for the bulls’ comeback. In case of a deeper pullback, $1.01 is a critical level to keep any rebound relevant.
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