Cardano price has started a fresh decline below the USD 0.3550 zone. ADA is consolidating above $0.3400 and may attempt a recovery wave.
- ADA price started moving down below the USD 0.3500 support level.
- The price is trading below $0.3520 and the 100-hour straightforward moving average.
- A key bearish trend line is forming on the hourly chart of the ADA/USD pair with resistance at $0.3460 (data source from Kraken).
- The pair may continue falling if it stays below the resistance zone at $0.3520.
Cardano price consolidates losses
After testing the resistance at $0.3680, Cardano had difficulty continuing its gains. ADA formed a short-term high and started a fresh decline, similar to Bitcoin and Ethereum. There has been a move below the $0.3550 and $0.3500 support levels.
Before the bulls emerged, the price even dropped below $0.3450. The bottom was formed at USD 0.3409 and the price is currently consolidating losses. There was a slight move above the $0.3450 level. The price was testing the 23.6% Fib retracement level in a move down from a high of $0.3681 to a low of $0.3409.
Cardano price is currently trading below $0.3520 and the 100-hour straightforward moving average. On the other hand, the price may face resistance near the $0.3460 zone. A key bearish trend line is also forming on the hourly chart of the ADA/USD pair with resistance at $0.3460.
The first resistance is located near $0.3520 or the 50% Fib retracement level as it moves down from a high at $0.3681 to a low at $0.3409. The next key resistance could be the USD 0.3550 level. If there is a close above the resistance at $0.3550, the price could begin a robust rally. In the given case, the price may escalate towards the USD 0.3680 region. Further gains may require a move towards $0.400.
More ADA flaws?
If Cardano price fails to break above the resistance level at $0.3550, another decline could begin. Immediate downside support is located near the $0.3420 level.
The next vital support is near the USD 0.3400 level. A downside break below the $0.3400 level could open the door to a test at $0.3250. The next major support is near the $0.3120 level, where bulls may emerge.
Technical indicators
Hourly MACD – MACD for ADA/USD is losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is currently below the 50 level.
Major support levels – USD 0.3400 and USD 0.3350.
Major resistance levels – USD 0.3460 and USD 0.3550.
