ADA Price Prediction: Bulls to Target $0.263 or Face a Fall to $0.255

Key Insights:

• ADA ended the day flat on Saturday, with support and resistance levels untested in a range-bound session.
• There were no Input Output HK (IOHK) updates or crypto events to support a holiday move.
• The technical indicators remain bearish, signaling a possible return to sub-$0.245.

On Saturday, ADA ended the day flat at $0.259. A range-bound Saturday session followed a 1.17% gain from Friday. Notably, ADA ended the day at sub-$0.260 for the sixth consecutive day while avoiding the red for the third successive session.

A bullish start to the day saw ADA rise to an early morning high of $0.261. However, coming up short of the First Major Resistance Level (R1) at $0.263, ADA fell to a late morning low of $0.257. Steering clear of the First Major Support Level (S1) at $0.255, ADA revisited $0.260 before easing back.

Quiet Pre-Holiday Session Leaves ADA Flat

There were no network updates from Input Output HK (IOHK) to provide direction on Saturday. With IOHK releasing the next weekly development report on January 13, investors took a back seat, sending trading volumes to low levels.

Cardano-NFT trading volume also declined, pegging ADA back from a breakout session. On Saturday, trading volume stood at 1,092,954,146 ADA, down from a 30-day high of $1,614,033,081 ADA on Friday.

While there were no IOHK updates, Charles Hoskinson made the crypto news on Saturday. Ethereum (ETH) co-founder Vitalik tweeted,

“I should mention that it’s good not to rush the decision too much. Overly hasty executive searches can lead to ruinous results; I know this from painful personal experience. That said, the vox populi wants a new CEO, and that wish definitely needs to be respected!”

The Ethereum co-founder was referencing the search for a new Twitter CEO.

Hoskinson replied,

“That’s funny, thought the same thing.”

Hoskinson left Ethereum in 2014 due to a falling out with the other co-founders, and the two have had a tumultuous relationship since.

For the day ahead, a lack of IOHK updates will likely produce another range-bound session. However, investors should monitor the crypto news wires for events that could move the dial.

ADA Price Action

This morning, ADA was flat at $0.259. A range-bound start to the day saw ADA rise to an early high of $0.260 before easing back.

Technical Indicators

ADA needs to avoid a fall through the $0.259 pivot to target the First Major Resistance Level (R1) at $0.261 and the Saturday high of $0.261. A move through the morning high of $0.260 would signal a bullish session. However, ADA would need the broader market to support a breakout afternoon session.

In the event of an extended rally, the bulls will likely take a run at the Second Major Resistance Level (R2) at $0.263 and $0.265. The Third Major Resistance Level (R3) sits at $0.267.

A fall through the pivot would bring the First Major Support Level (S1) at $0.257 into play. Barring an event-fueled sell-off, ADA should avoid sub-$0.255. The Second Major Support Level (S2) at $0.255 should limit the downside. The Third Major Support Level (S3) sits at $0.251.

This morning, the EMAs and the 4-hourly candlestick chart (below) sent a bearish signal.

ADA sat below the 50-day EMA, currently at $0.264. The 50-day EMA fell back from the 100-day EMA, with the 100-day EMA easing back from the 200-day EMA, delivering bearish signals.

A move through R1 ($0.261) would support a run at R2 ($0.263) and the 50-day EMA ($0.264). However, failure to move through the 50-day EMA (0.264) would leave ADA under pressure.