Cardano Price Prediction: ADA might pull back before catapulting to $1.60

Cardano price has been on a 43% uptrend since bottoming on June 22.
ADA is stuck consolidating as it tries to scale higher, indicating weakness.
Investors can expect a 7% retracement before a 22% uptrend to $1.61 kick-starts.

Cardano price set up a swing low on June 22, which was followed by an exponential run-up that led to a steep pullback. Since the retracement, ADA has been on a slow uptrend.

The recent price action reveals consolidation, hinting at a slowdown of the rally. Therefore, investors can expect a minor correction before the momentum restarts.

Cardano price catches its breath

Cardano price is currently setting up the second lower high since July 4. This move indicates that the 16% upswing since July 2 is slowing down. Therefore, investors need to be open to the possibility of a pullback.

The likely targets for this correction are $1.357 and the demand zone ranging from $1.287 to $1.318. ADA needs to slide 7% to tag the support area’s upper trend from its current position at $1.427.

This move will allow buyers to accumulate ADA at a discount, which will build up the steam and fill any unfilled orders from the July 2 upswing.

The resulting buying pressure might propel Cardano price to $1.40; breaching it would push it to $1.486. If the buying pressure continues to sustain or build up here, the rally could extend up to the June 15 swing high at $1.61.

The move from $1.318 to $1.61 would constitute a 22% ascent.

In some cases, ADA might sweep the $1.65 swing high set up on June 10.

ADA/USDT 4-hour chart

Things might turn awry for the so-called “Ethereum killer” if the pullback fails to find support at $1.357 or the demand zone stretching from $1.287 to $1.318.

A potential spike in selling pressure that breaches the said support area will set up a lower low, which puts a dent in the bullish outlook outlined for Cardano price.

However, this optimistic scenario will face invalidation if it produces another swing low at $1.251. Under these circumstances, ADA might slide 5% to tag $1.195.

Share: Cryptos feed

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.

Join Telegram