Cardano Breaks Key Resistance at $0.30 Amidst Crypto Market Recovery
Crypto News – In sync with Bitcoin’s (BTC) rebound to $35,500, Cardano (ADA) experienced a significant milestone by breaching the pivotal psychological resistance level of $0.30.
As of the latest data, ADA has seen a 6.70% increase in value over the past 24 hours, accompanied by a notable surge in trading volume, reaching $350.89 million. This spike in trading activity signals a heightened interest in ADA, and if this trend continues to strengthen, there is a possibility of further price appreciation.
Support Found at $0.28 for ADA
Cardano’s ascent to $0.30 wasn’t solely attributed to the upswing in BTC. Analyzing the ADA/USD 4-hour chart, it becomes evident that this breakthrough was the result of bullish momentum successfully holding off a potential dip at $0.28.
Observing the exhaustion of sellers, the $0.28 level emerged as a robust support zone that bulls leveraged to propel ADA to $0.31. At the time of this report, there was a minor retracement from $0.31, bringing ADA back to the $0.30 mark.
However, this retracement appears insufficient to deter ADA from experiencing further price gains, a notion supported by the Relative Strength Index (RSI) reading, which stood at 62.64. This RSI value underscores the strength of the current bullish sentiment for ADA.
If the RSI were to climb to 65.00, it could open the door for ADA to potentially achieve a 10% upswing, reaching $0.33 in the coming days. Nevertheless, the realization of this potential surge will heavily depend on sustained buying momentum bolstering ADA’s price action.
In the event that the buying strength subsides, ADA may find support at $0.30, preventing bearish influences from taking hold. An examination of the Awesome Oscillator (AO) suggests that a significant downturn is not currently in the cards for ADA.
The Next Target: $0.33
As of now, the AO reading stands at 0.0063, with green histogram bars on the rise. This reading, above the zero line, reaffirms the continuity of ADA’s upward trajectory.
Furthermore, the derivatives data from Coinglass suggests a growing inclination among traders to adopt long positions in ADA. This inclination is derived from the funding rate, a metric assessing the balance between long and short positions in the market and identifying the dominant sentiment. ADA’s funding rate, indicated at 0.092%, validates the prevalent bullish sentiment among traders.
As we move forward, the critical level to monitor is the $0.28 support. If ADA maintains this support, the path to a potential surge to $0.33-$0.35 remains open.
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