Cardano (ADA) price has finally turned red after six consecutive weeks of uptrend. The pullback comes as the digital asset failed to break above a key resistance level on its chart. Nevertheless, the coin remains 74% up from the yearly lows.
On Wednesday, ADA price slid by a few points as the $38k resistance resulted in another rejection in BTC price. This caused a pullback in the altcoin market but Cardano remained somewhat resilient.
At press time, the leading smart contract asset was down only 0.05% as the price consolidated below a major high timeframe resistance of $0.406. This resistance has been mentioned in my multiple Cardano price forecasts and bulls need to break above this level to explore higher prices.
The daily ADA/USD chart gives a better understanding of the price action. There appears to be a bearish divergence on the Relative Strength Index, which is also confirmed by the Money Flow Index. Such divergences usually develop on the local market tops.
This post was last modified on Nov 29, 2023, 18:21 GMT 18:21