Cardano's ADA bucks the trend through the early part of the day. Holding on may be an issue should the broader market fail to bounce back.
Cardano’s ADA rose by 4.63% on Wednesday, reversing a 4.16% slide from Tuesday, to end the day at $0.045222.
Tracking the broader market, Cardano’s ADA rose from a start of a day intraday low $0.042798 to a mid-day intraday high $0.046712, breaking through the first major resistance level at $0.0450 to come within range of the second major resistance level at $0.0469 before easing back.
Bucking the trend across the broader market through the afternoon, Cardano’s ADA avoided a reversal to hold above the first major resistance level at $0.0450 by the day’s end, with the start of the day intraday low steering well clear of the first major support level at $0.0415.
The extended bearish trend, formed at early May’s swing hi $0.38845, remained intact following last week’s sell-off, with Cardano’s ADA continuing to fall well short of the 23.6% FIB Retracement Level of $0.1125 following 7th December’s new swing lo $0.02724.
At the time of writing, Cardano’s ADA was up 0.74% to $0.045557, with moves through the early morning seeing rally to an early morning high $0.046966 before falling to a morning low $0.044685. Cardano’s ADA came up against the first major resistance level at $0.0467 before pulling back, while steering clear of the first major support level at $0.0433.
For the day ahead, a hold onto $0.045 levels through to the early afternoon would support a move back through the first major resistance level at $0.0467 to bring $0.47 levels into play before any pullback. Wednesday’s high $0.046172 will likely pin Cardano’s ADA from any breakout to $0.048 levels to leave the second major resistance level at $0.0481 out of play through the day.
Failure to hold onto $0.045 levels through the morning could see Cardano’s ADA give up the morning gains, a fall through the morning low $0.044685 bringing the day’s first major support level at $0.0433 into play. Further declines could be on the cards should sentiment across the broader market deteriorate through the day, with the second major support level at $0.0414 likely to come into play in the event of a broad based crypto sell-off.
Major Support Level: $0.0433
Major Resistance Level: $0.0467
Fib 23.6% Retracement Level: $0.1125
Fib 38% Retracement Level: $0.1652
Fib 62% Retracement Level: $0.2505
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.