ADA Price Prediction: Bulls to Target the Monday High of $0.416

Key Insights:

• On Thursday, cardano (ADA) rose by 1.04% to end the day at sub-$0.400 for the second consecutive session.
• US economic indicators reversed losses from the morning session.
• The technical indicators are bullish, with ADA sitting above the 200-day EMA to bring sub-$0.410 into view.

On Thursday, ADA rose by 1.04%. Partially reversing a 3.74% slide from Wednesday, ADA ended the day at $0.390. Notably, ADA wrapped up the day at sub-$0.400 for the second consecutive session.

A mixed start to the day saw ADA fall to an early low of $0.384. Steering clear of the First Major Support Level (S1) at $0.374, ADA rose to a mid-morning high of $0.399. Coming up short of the First Major Resistance Level (R1) at $0.403, ADA fell back to sub-$0.390 before finding support from the US economic calendar.

Weaker-than-expected ISM Non-Manufacturing PMI and Unit Labor Cost numbers delivered ADA price support.

Network updates were also ADA-positive ahead of the weekly development report.

Input Output HK Network Updates Deliver Price Support

On Thursday, Input Output HK (IOHK) delivered the latest network update, saying,

“OUT NOW: #Daedalus mainnet 5.1.1 has just been released.”

IOHK went on to say,

“This update increases the minimum required free disk space for running a fully synced Daedalus wallet from 2GB to 4GB.”

IOHK also announced the arrival of new cryptographic primatives ‘to enable secure, cross-chain #DApp development.’

While the latest network updates were not as significant as the Vasil hard fork, network enhancements and developments remain ADA-positive.

Later today, the IOHK will release the weekly development update with the project numbers of interest. However, the US Jobs Report could overshadow the update. A sharp increase in nonfarm payrolls would fuel bets of another 75-basis point Fed rate hike in December, which would weigh on riskier assets.

ADA Price Action

This morning, ADA was up 3.33% to $0.403. A mixed start to the day saw ADA fall to an early low of $0.388 before rising to a high of $0.404.

ADA broke through the First Major Resistance Level (R1) at $0.398.

Technical Indicators

ADA needs to hold above R1 and the $0.391 pivot to retarget the Second Major Resistance Level (R2) at $0.406. A return to the morning high of $0.404 would signal a possible breakout session. However, ADA would also need the support of the broader market for a sustained rally.

The US Jobs Report will need to be crypto-friendly.

In case of an extended rally, the bulls would likely take a run at Monday’s high of $0.416. The Third Major Resistance Level (R3) sits at $0.421.

A fall through R1 and the pivot would bring the First Major Support Level (S1) at $0.383 into play. However, barring another extended sell-off, ADA should avoid sub-$0.380 and the Second Major Support Level at $0.376. The Third Major Support Level (S3) sits at $0.361.

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

ADA sat above the 200-day, currently at $0.399. The 50-day EMA closed in on the 200-day EMA, with the 100-day EMA narrowing to the 200-day EMA, delivering bullish signals.

A hold above the 200-day EMA ($0.399) would support a breakout from R2 ($0.406) to bring the Monday high of $0.416 into view. However, a fall through the 200-day EMA ($0.399) and R1 ($0.398) would give the bears a look at the 50-day EMA ($0.396).

ADAUSD 041122 4-Hourly Chart