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Cardano’s ADA Technical Analysis – Bearish Trend Intact – 04/07/18

By:
Bob Mason
Published: Jul 4, 2018, 06:43 UTC

Back in the red for Cardano's ADA, though sentiment could see a material shift should Cardano's ADA manage to break back through $0.16 levels to bring $0.17 levels into play, such a move indicative of the beginnings of a bearish trend reversal.

ada

Key Highlights

  • Cardano’s ADA slid by 3.13% on Tuesday, following Monday’s 8.56% rally, to end the day at $0.14904.
  • A choppy start to the day saw Cardano’s ADA move through to an early morning intraday high $0.161, falling short of the day’s first major resistance level at $0.1631, before pulling back through the late morning.
  • An intraday low $0.1475 late in the day saw Cardano’s ADA hold well above the first major support level at $0.1411, though falling well short of the 23.6% FIB Retracement Level of $0.1782 left the extended bearish trend firmly intact.

How to Buy Cardano’s ADA

Cardano’s ADA Price Support

Cardano’s ADA fell by 3.13% on Tuesday, partially reversing Monday’s 8.56% gain, to end the day at $0.14904.

A late Monday pullback continued into the early hours of Tuesday, with Cardano’s ADA falling to a start of the day $0.15164 low before a broad based market rally saw Cardano’s ADA move through to an intraday high $0.161.

Falling short of the day’s first major resistance level at $0.1631 and the 23.6% FIB Retracement Level of $0.1782 left the extended bearish trend intact, with Cardano’s ADA pulling back to $0.15 levels through the middle of the day, before a late in the day reversal saw Cardano’s ADA give up $0.15 levels.

An intraday low $0.1475 held above the day’s first major support level at $0.1411, a positive for the crypto bulls, though the failure to consolidate Monday’s gains will have been a concern, extended rallies now few and far between as investors lock in profits before any negative news hits the wires.

At the time of writing, Cardano’s ADA was down 1.6% to $0.14735, with Tuesday’s late sell-off carrying on into the early hours of this morning, leading Cardano’s ADA to a morning low $0.1456 before recovering to $0.147 levels, the morning low managing to steer clear of the first major support level at $0.1440.

A mid-morning move back through to $0.15 levels, with a morning high $0.15078 saw Cardano’s ADA also fail to test the day’s first major resistance level at $0.1575 before pulling back to sub-$0.15 levels.

For the day ahead, a move through the morning’s high to $0.1525 would support a run at the first major resistance level at $0.1575, though for Cardano’s ADA to break back through to $0.15 levels, some stern resistance will likely be faced, $0.15 being the key level in the middle of the week.

Failure to move through to $0.1575 levels could see Cardano’s ADA take a bigger hit later in the day, with Cardano’s ADA likely to test the first major support level at $0.1440 before any recovery, sub-$0.14 support levels unlikely to be tested through the day, barring materially negative news hitting the wires.

For the bulls, the next target will have to be a move back through Tuesday’s $0.161 high to bring $0.17 levels into play, a break through the 23.6% FIB Retracement Level of $0.1782 supportive of a bearish trend reversal.

ADA/USDT 04/07/18 4-Hourly Chart

Looking at the Technical Indicators

Major Support Level: $0.1440

Major Resistance Level: $0.1575

Fib 23.6% Retracement Level: $0.1782

Fib 38% Retracement Level: $0.2184

Fib 62% Retracement Level: $0.2833

About the Author

Bob Masonauthor

With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.

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