fxs_header_sponsor_anchor

Cardano Price Prediction: ADA to offer selling opportunity following 85% breakout

  • Cardano price is up 60% in the past five days, hitting a new 2020-high at $0.183.
  • Following the massive rally, the digital asset is presenting some bearish signs in the short-term.

Cardano had a significant breakout on November 20 above a critical resistance level established at $0.112. After the massive rally, the digital asset shows some bearish signs on the daily and 12-hour charts.

Cardano price could be poised for a pullback to $0.14

On the 12-hour chart, the TD Sequential indicator has just presented a sell signal right after the peak of $0.183. The RSI is also extremely overextended, adding even more selling pressure on Cardano.

ADA/USD 12-hour chart

Similarly, on the daily chart, the TD Sequential is on the verge of presenting the same sell signal. Using the Fibonacci Retracement tool, we can determine some potential bearish price targets in the short-term if the sell signal is validated.

ADA/USD daily chart

The nearest support level seems to be $0.141, which is the 0.618 Fib level. The next significant point is $0.128, followed by $0.116, and finally the area between $0.105 and $0.1, which coincides with the 50-SMA and the 100-SMA as well as the 0.236 Fib level.

ADA/USD weekly chart

On the other hand, Cardano price is only facing a major resistance level at $0.168 on the weekly chart. A breakout above this critical level can quickly drive Cardano price towards the next level at $0.2248.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.


RELATED CONTENT

Loading ...



Copyright © 2024 FOREXSTREET S.L., All rights reserved.