The cryptocurrency market is serene apart from BTC’s surge to a new all-time at $41,986. However, some selected Altcoins are still holding on to their massive gains. Cardano has been on a massive upswing since the start of 2021. On a 7-day basis, the smart contract token surged by more than 72% to trade at a new yearly high of $0.388. Cardano upside stalls as the bulls took a retreat from the $0.38 high. A subsequent rebound ensues on ADA/USD to intraday highs of $0.3264. Cardano (ADA) is exchanging hands at $0.3001, trading up by 2.34% from intraday lows of $0.2599. At a present market cap of $9.56 billion, Cardano unseats BCH to rank 6th largest while trade volume in the last 24 hours stands at $4.87 billion. The sporadic rise in Cardano price in the prior week caused it to unseat Bitcoin Cash (BCH) to become the world’s sixth-largest cryptocurrency by market capitalization. ADA’s strong upsurge was attributed to BTC’s uptrend to new all-time highs and Cardano having some important network upgrades lined up in 2021.
*The smart contract token surged by more than 72% to trade at a new yearly high of $0.388
*Cardano (ADA) is exchanging hands at $0.3001
*At a present market cap of $9.56 billion, Cardano unseats BCH to rank 6th largest
Resistance Levels: $0.4200, $0.4000, $0.3882
Support Levels: $0.2599, $0.2000, $0.1500
ADA/USD Daily Chart: Bullish
ADA/USD Daily Chart
ADA price declined when the sharp rally pushed the RSI deep into the overbought territory. History indicated that whenever the RSI rises above 80, the ADA/USD pair often sees a minor correction. The prior rally stalled short of $0.40, once the buyers manage to flip the minor resistance at $0.3586 into support and $0.4 comes into the picture, ADA may rally to $0.50.
On the downside, losses will come into the picture if Cardano makes a daily close below $0.2599. Such a move will suggest aggressive profit booking at higher levels and could deepen the correction or keep the pair range-bound for a few days. A further decline beneath $0.2599 will seek support at $0.20 and the MA 50 close at $0.1710 marks.
ADA/USD 4-Hour Chart: Ranging
ADA/USD 4-Hour Chart
Cardano’s path to the upside is filled with obstacles. The bulls may bump into minor resistance in the range between $0.3264 and $0.3586. Once these hurdles are cleared and buyers flip the resistance at $0.35 into support, Cardano may embark on another majestic rally aiming for highs above $0.4.
On the downside, robust support lies between $0.2599 and $0.2870. A bearish narrative is likely to be confirmed if Cardano plunges $0.2500. ADA may be forced to seek the next buyer congestion zone highlighted between $0.228 and $0.2326 at the 4 hour MA 50. The support at the MA 200 located at $0.1710 may serve as a backstop for further losses. The ADA/USD pair is only bullish while trading above the $0.25 mark, key resistance is found at the $0.35 and 0.40 levels.
Note: Kryptomoney.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results
Image Credit: Shutterstock