Cardano (ADA) Price Analysis: Moving Above Moving Average Lines
The latest price analysis of Cardano (ADA) shows that the altcoin has risen above the moving average lines after trading horizontally. On October 2, ADA reached a high of $0.27 but faced resistance and is now overbought near that level. Despite unsuccessful attempts to break above the $0.27 resistance four times since August 20, Cardano can only move within the range of $0.24 and $0.27.
If ADA manages to stay above the moving average lines, it will likely move up and retest the resistance at $0.27. Breaking this barrier will resume Cardanoโs upward momentum, potentially leading to a high of $0.32. However, if the bears fall below the 50-day line SMA, ADA could fall back to its previous low of $0.24.
Cardano Indicator Analysis
After an upward retracement, Cardano has continued to move above the moving average lines. As long as the price bars remain above these lines, ADAโs price is expected to rise. However, the sloping south of the moving average lines indicates a downtrend.
Technical Indicators
Key resistance zones for Cardano include $0.30, $0.35, and $0.40, while key support zones are at $0.20, $0.15, and $0.10.
Whatโs Next for Cardano?
On the 4-hour chart, Cardano is showing positive movement after reaching the overbought area at $0.27. The cryptocurrency has formed higher highs and higher lows and is currently above the support level of $0.25 as it moves upwards. However, if the bulls fail to break the current high, sideways movement may continue.
According to cryptocurrency analytics specialists, Cardano previously rose above the $0.23 support during the downtrend on August 17 and maintained positive momentum until reaching a high of $0.28.
Hot Take: Cardanoโs Price Rises Above Moving Average Lines
Cardanoโs price has recently moved above the moving average lines after trading horizontally. Despite facing resistance at $0.27, ADA has the potential to retest this level and resume its upward momentum. However, if bears manage to push the price below the 50-day line SMA, ADA may fall back to its previous low of $0.24. With positive movement on the 4-hour chart and higher highs and higher lows forming, Cardanoโs next move will depend on whether bulls can break the current high or if sideways movement will continue.