Cardano’s ADA Technical Analysis – Support Buckles – 08/08/18

Key Highlights

• Cardano’s ADA fell by 3.7% on Tuesday, following on from Monday’s 0.67% decline, to end the day at $0.12476.
• A morning rally saw Cardano’s ADA come within reach of the first major resistance level at $0.13.49 with an intraday high $0.1329.
• Tracking the broader market, a late sell-off saw Cardano’s ADA fall through the first major support level at $0.1255 to an intraday low $0.123.

How to Buy Cardano’s ADA

Cardano’s ADA Price Support

Cardano’s ADA fell by 3.7% on Tuesday, following on from Monday’s 0.67% fall, to end the day at $0.12476, the only positive for the day being a hold above 29^th June’s swing lo $0.11319.

Through the first half of the day, Cardano’s ADA found plenty of support, rising to an early afternoon intraday high $0.1329 that fell short of the day’s first major resistance level at $0.1349, before a news wire driven market sell-off saw Cardano’s ADA take a tumble late in the day.

Cardano’s ADA slid from $0.13 levels to an intraday low $0.123, the reversal seeing Cardano’s ADA slide through the day’s first major support level at $0.1255 to come within reach of the second major support level at $0.1215 before finding some support to move back through to $0.124 by the day’s end.

The moves through the day reaffirmed the bearish trend formed back at 29^th April’s swing hi $0.38845, with the bears building a solid distance between current levels and the 23.6% FIB Retracement Level of $0.1782, which is the bulls’ first target to begin forming a bearish trend reversal.

At the time of writing, Cardano’s ADA was down 6.88% to $0.11618, with Tuesday’s late in the day sell-off seeing Cardano’s ADA slide through the day’s first major support level at $0.1209 and second major support level at $0.1170 to a morning low $0.1154, Cardano’s ADA holding just above late June’s swing lo $0.11319.

For the day ahead, a move back through the first major support level at $0.1209 to $0.1269 would support a run at $0.13 levels to bring the first major resistance level at $0.1308 into play, though sentiment across the broader market will need to materially improve, mid-morning moves giving little chance of an early afternoon rebound.

Failure to break back through to $0.12 levels will likely see Cardano’s ADA take a bigger hit later in the day, with a pullback through late June’s swing lo $0.11319 bringing the day’s third major support level at $0.1071 into play should the sell-off not abate by late morning.

While the broader market has seen the sell-off ease, moving back through the major support levels will be key to any recovery in the day, any range bound moves through the middle of the day likely to weigh.

Looking at the Technical Indicators

Major Support Level: $0.1209

Major Resistance Level: $0.1308

Fib 23.6% Retracement Level: $0.1782

Fib 38% Retracement Level: $0.2184

Fib 62% Retracement Level: $0.2833