A start of the day pullback left Cardano's ADA deep in the red, following last week's losses, with the day ahead looking ominous.
Cardano’s ADA fell by 1.22% on Sunday, following Saturday’s 1.97% slide, to end the week down 4.09% to $0.1620.
A late Saturday recovery from heavier losses, continued into early Sunday, with Cardano’s ADA moving through to a start of the day intraday high $0.16498, while falling short of the first major resistance level at $0.1677.
Following the broader market, Cardano’s ADA pulled back through the morning to a late morning intraday low $0.1600, calling on support at the first major support level at $0.1599, before recovering to $0.162 levels, though it wasn’t plain sailing for Cardano’s ADA through the afternoon.
Volatility was ever present, with falls back through to $0.160 levels and recoveries to $0.163 levels before ultimately ending the weekend at $0.162 levels, support at the 38.2% FIB Retracement Level of $0.1648 failing to kick in through the morning.
For the Cardano’s ADA bulls, the week’s pullback and bearish moves through the weekend have certainly tested the near-term bullish trend formed at 29th June’s swing lo $0.11319, with Cardano’s ADA having struggled to find support at the 38.2% FIB Retracement Level of $0.1648 to force a recovery through to the 23.6% FIB Retracement Level of $0.177.
Holding on to $0.16 levels will be key for Cardano’s ADA near-term, any pullback to sub-$0.16 levels signaling a resumption of the extended bearish trend formed back at 29th April’s swing hi $0.38845.
At the time of writing, Cardano’s ADA was down 0.86% to $0.16117, with a volatile start to the day seeing Cardano’s ADA slide back from a start of a day $0.16388 morning high to an early morning low $0.15944 to test the first major support level at $0.1597 before moving back through to $0.16 levels, the morning’s high seeing Cardano’s ADA falling short of the first major resistance level at $0.1647.
For the day ahead, a move back through $0.1623 would support another run at the first major resistance level at $0.1647 to bring $0.165 levels into play, though Cardano’s ADA will need to avoid another pullback to sub-$0.16 levels through the late morning, with the 38.2% FIB Retracement Level of $0.1648 proving to be quite a hurdle.
Failure to break back through to $0.163 levels could see Cardano’s ADA take a bigger hit later in the day, with any broad based market sell-off bringing the day’s second major support level at $0.1574 into play, a close at sub-$0.16 levels signaling a resumption to the extended bearish trend.
Major Support Level: $0.1605
Major Resistance Level: $0.1677
Fib 23.6% Retracement Level: $0.177
Fib 38% Retracement Level: $0.1648
Fib 62% Retracement Level: $0.1451
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.