Altcoins
Ethereum’s decline drags altcoins down
Cardano price started a fresh decline below the $0.4120 support. Ethereum’s decline seems to be dragging ADA lower towards the $0.380 support.
- ADA price started a fresh decline from the $0.450 resistance zone.
- The price is trading below $0.4120 and the 100 hourly simple moving average.
- There is a key bearish trend line forming with resistance at $0.4060 on the hourly chart of the ADA/USD pair (data source from Kraken).
- The pair could continue lower and test the $0.380 support zone.
Cardano Price Shows Signs of Further Decline
After a steady increase, Cardano faced sellers near the Resistance zone at $0.450. ADA formed a short-term top and started a pullback below the $0.4250 level. Recently, The Decline of Ethereum dragged it further down below the $0.400 support.
A low is forming near $0.3919 and the price is consolidating losses with a bearish angle. There is also a key bearish trend line forming with resistance at $0.4060 on the hourly chart of the ADA/USD pair.
Cardano price is now trading below $0.4100 and the 100 hourly simple moving average. If there is a recovery wave, the price could face resistance near the $0.4050 area and the 50% Fibonacci retracement level of the downward move from the $0.4211 high to $0.3919 low.
The first resistance is near $0.4150 or the 76.4% Fibonacci retracement level of the downward move from the $0.4211 high to $0.3919 low. The next key resistance could be $0.4220. If there is a close above the $0.4220 resistance, the price could start a strong rally. In the indicated case, the price could rise towards the $0.4450 region. Any further gains could lead to a move towards $0.4500.
Other drawbacks in the ADA?
If Cardano price fails to break above the $0.4050 resistance level, it could continue lower. The immediate support on the downside lies near the $0.3920 level.
The next major support lies near the $0.3800 level. A downside break below the $0.3800 level could open the way for a test of $0.3650. The next major support lies near the $0.3500 level, where the bulls could emerge.
Technical indicators
Hourly MACD – The MACD for ADA/USD is gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is now below the 50 level.
Key support levels – $0.3920 and $0.3800.
Key resistance levels – $0.4050 and $0.4150.