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Cardano’s ADA Technical Analysis – Support Levels in Play – 16/08/19

By:
Bob Mason
Published: Aug 16, 2019, 01:35 UTC

Cardano's ADA saw red in the early hours as the majors struggle for direction following Thursday's swing moves.

Cardano Crypto Currency Market

Key Highlights

  • Cardano’s ADA gained 0.60% on Thursday. Partially reversing a 10.4% tumble from Wednesday, Cardano’s ADA ended the day at $0.04739.
  • An early morning intraday high $0.048242 saw Cardano’s ADA fall well short of the first major resistance level at $0.05190.
  • A mid-morning intraday low $0.044876 saw Cardano’s ADA hold above the first major support level at $0.04410.
  • The extended bearish trend remained intact. Cardano’s ADA continued to fall short of the 23.6% FIB Retracement Level of $0.1125.

How to Buy Cardano’s ADA

Cardano’s ADA Price Support

Cardano’s ADA fell by 0.60% on Thursday. Partially reversing a 10.4% slide from Wednesday, Cardano’s ADA ended the day at $0.04739.

Particularly choppy through the morning, Cardano’s ADA fell from an intraday high $0.048242 to a mid-morning intraday low $0.44876.

In spite of the choppy morning, Cardano’s ADA left the major support and resistance levels untested on the day.

Finding support through the late morning, Cardano’s ADA managed to bounce back to $0.048 levels by late afternoon. A late pullback, however, left Cardano’s ADA in the red for the day.

The extended bearish trend remained firmly intact, reaffirmed by the extended reversal to sub-$0.050 levels. Cardano’s ADA continued to fall short of the 23.6% FIB Retracement Level of $0.1125, following 7th December’s new swing lo $0.02724.

For the bulls, Cardano’s ADA would need to break out from the 38.2% FIB to $0.1650 levels to form a bullish trend.

At the time of writing, Cardano’s ADA was down by 1.41% to $0.046718. A bearish start to the day saw Cardano’s ADA slide from an early morning high $0.04753 to a low $0.04591.

In spite of the bearish start to the day, Cardano’s ADA left the major support and resistance levels untested early on.

ADA/USD 16/08/19 Daily Chart

For the day ahead

A move back through to $0.0468 levels would support a recovery of the early losses. Cardano’s ADA would need the support of the broader market, however, to break out from the morning high $0.04753.

Barring a broad-based crypto rally, Cardano’s ADA would likely fall well short of the first major resistance level at $0.0488.

In the event of a crypto rebound, Thursday’s high $0.04824 and the first major resistance level would likely cap any upside on the day.

Failure to move back through to $0.0468 levels could see Cardano’s ADA take another hit on the day.

A fall through to $0.045 levels would bring the first major support level at $0.0454 into play before any recovery.

Barring another crypto meltdown, however, Cardano’s ADA should steer clear of sub-$0.045 levels on the day.

Looking at the Technical Indicators

Major Support Level: $0.04540

Major Resistance Level: $0.04880

23.6% FIB Retracement Level: $0.1125

38.2% FIB Retracement Level: $0.1652

62% FIB Retracement Level: $0.2505

Please let us know what you think in the comments below

Thanks, Bob

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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