- ADA/USD’s rebound loses steam amid a lack of weekend love so far this Saturday.
- Rising channel breakdown on the 12-hour chart calls for a test of the $1.20 level.
- Impending bear cross and bearish RSI keep the ADA sellers hopeful.
Cardano (ADA/USD) is looking to resume the recent downtrend following a temporary reversal from weekly lows of $1.2833 reached on Friday.
ADA price staged an impressive bounce but lost legs just shy of the $1.40 mark, as sellers return amid a barrage of attacks faced by Cardano founder, Charles Hoskinson, on Twitter.
This came after Hoskinson retweeted a year-old tweet that highlighted predictions for the network’s adoption.
Ok, so @IOHK_Charles predicted this a year back. Update:No asset on $ADA, forget 1000’s of DApps not a single dapp on $ADA, only 1-2 projects announced working on.
At the press time, Cardano price is hovering around $1.34, down 0.83% on the day. The fifth most widely traded crypto coin is losing nearly 2% on a weekly basis.
ADA/USD faces a dense cluster of healthy resistance levels, remains bearish
ADA price is struggling to extend its recovery from weekly troughs, as it faces a stack of healthy resistance levels between $1.3700-$1.3800.
Around that zone, the rising channel support-turned-resistance, 21 and 50-Simple Moving Averages (SMA) intersect on the 12-hour sticks.
Therefore, a failure to find acceptance above the latter could reinforce the bearish interests, triggering a fresh downswing towards one-week lows.
The next significant support awaits at the July 2 low of $1.2778, below which the horizontal (orange) trendline support at $1.2025 will be put to test.
Cardano’s path of least resistance remains to the downside, in light of a rising challenge breakdown confirmed on the said time frame a day before.
The Relative Strength Index (RSI) edges lower within the bearish zone, adding credence to a potential move lower.
Additionally, the bearish scenario is also backed by an impending bear cross, as the 100-SMA is inching closer towards the 200-SMA, looking to cut the latter from above.
ADA/USD: 12-hour chart
On the flip side, ADA bulls could attempt a fresh rally towards the horizontal 200-SMA at $1.4610 should the critical supply zone around $1.3800 is taken out convincingly.
Further up, the mildly bearish 100-SMA at $1.4783 could be a tough nut to crack for the ADA optimists.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.