If the price of ADA loses the support at USD 1.05, the ground would be clear for USD 0.70. Confirmation of a significant rally would allow for an increase to USD 1.60 if the value broke through the resistance at USD 1.19.
Markets are suffering the effects of pressure from negativity, which can hurt the value of Cardano (ADA) quite a lot. Currently, the price is teetering above a level that could determine strong selling in the future.
ADA is trading at around USD 0.99 and has accumulated a loss of 8% in the last week. Its trading volume is above USD 993.60 million, and its market capitalization is about USD 31.86 billion. The cryptocurrency occupies 7th place in the ranking, according to CoinGecko.
The little determination of buyers currently does not allow the profits of the cryptocurrency to spread too far. The addition of ADA to the stock conversion rate calculator of Google caused it.
A growing number of people are interested in that cryptocurrency, which shows that the market for those assets is an economic innovation.
Although the fundamentals remain strong and continue to improve, the general downward pressure could cause more problems in the short term.
The following analysis will help to know where the price of ADA is heading next.
Weekly Technical Analysis of the Price of Cardano
The weekly ADA/USDT chart clearly shows that the price is around USD 1.05 and is currently undergoing a new challenge.
Given that the bearish inclination in the last few months remains solid, the price could break through that immediate support level in the short term.
However, if ADA breaks through the support at USD 1.05, the ground will be clear for USD 0.70. Since the next lower level at USD 0.34 is quite far away, there could be a rally in the medium to long term.
The price must break above the resistance at USD 1.46 to think that the bulls have regained control of the trend.
Short-Term Levels in the Price of ADA Price to Consider
The Cardano daily chart indicates that the price refuses to lose the support at USD 1.05. That is evident because it rejects low prices and creates a zone that extends to USD 0.91.
There is a marked bullish divergence due to the weakness of sellers to create an effective lower low. That could be a sign that there will be a considerable respite in the coming days.
There will be a confirmation of a significant rally if the value of ADA breaks through the resistance at USD 1.19. That move in the price would leave the ground clear for USD 1.60.
If buyers do not take control soon, the probabilities will remain slightly on the bearish side.
It is still early to tell precisely where the Cardano price will be heading in the coming days. However, if the trend shown on the charts continues, there could be a new bullish rally in the medium and long term.
By Alexander Salazar
