The ADA price bounced an impressive 47% from the 200-day moving average on Tuesday. However, Cardano is making hard work of the 100.
Cardano is last trading at $1.3477, down $0.010 (-0.93%).
It’s been another volatile week in crypto land. ADA followed Bitcoin and Ethereum lower at the start of the week before reversing from the crucial 200-day moving average at $0.9830.
The resulting rally took Cardano as high as $1.4490 and out of its recent downtrend. This should have triggered a run to $1.6500. However, the ADA price fell short of closing above the 100 DMA at $1.4325. Furthermore, the $1.3600 daily close was back below the resistance of the important trend line.
The daily chart shows the ADA price attempted to break higher in yesterday’s session. Nonetheless, today’s price action is in danger of spoiling the bulls party, and if Cardano closes below the trendline at $1.3300, it may lead to more losses. An obvious target would be the 200 DMA, which is now seen at $1.0030.
That being said, trend breakouts often result in the price retesting the line before continuing the move. Therefore, a settlement above $1.3300 would validate the bullish development.
On the upside, the 100 DMA is clearly the first resistance level. Additionally, a series of highs around $1.6500 comes next, followed by the 3rd of June high at $1.9000.
In conclusion, today may prove pivotal for the ADA price, and until the daily candle is complete, Cardano’s fate hangs in the balance.
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