Cardano (ADA) Eyes a Potential Recovery: Can It Bounce Back?

As a seasoned crypto investor with over a decade of experience in this volatile market, I’ve learned to navigate the turbulent seas of digital assets with a steady hand and a keen eye for opportunity. The recent decline in Cardano’s price has been a familiar dance, one that we’ve seen many times before.


The cost of Cardano initially dipped beneath the $0.3565 level, signifying a new downtrend. However, ADA is currently holding steady just above $0.3420, indicating potential for an upward correction.

  • ADA price started a downward move below the $0.3520 support level.
  • The price is trading below $0.3500 and the 100-hourly simple moving average.
  • There was a break above a key bearish trend line with resistance at $0.3460 on the hourly chart of the ADA/USD pair (data source from Kraken).
  • The pair could attempt a recovery wave if it clears the $0.3520 resistance zone.

Cardano Price Consolidates Losses

Following its attempt to break through the $0.3700 barrier, Cardano found it challenging to push further upwards. Contrary to Bitcoin and Ethereum, ADA formed an interim peak and initiated a new downward trend instead. The price dropped below the support of $0.3550 and $0.3500 levels.

Initially, the price dipped below $0.3450, reaching a low at $0.3394. After that, it seems to be stabilizing as it recovers from its losses. There was a brief spike above $0.3420, but the price has since returned. Additionally, the price has moved beyond the 23.6% Fibonacci retracement level of the downward trend that started at the high of $0.3705 and ended at the low of $0.3394.

Additionally, a significant rise occurred above a crucial bearish trend line, marked at approximately $0.3460 in the hourly chart of the ADA/USD pair. At present, Cardano’s price is hovering below $0.350 and dipping beneath the 100-hour moving average.

Positively, there’s a possibility that the price may encounter a barrier around the $0.3515 range. The initial barrier could be at $0.3550 or the halfway point of the price drop from the peak of $0.3705 to the trough of $0.3394. Another significant resistance might emerge at $0.3620.

Cardano (ADA) Eyes a Potential Recovery: Can It Bounce Back?

Should the price break through the $0.3620 barrier (a potential resistance level), it may trigger a significant upward trend. In such a scenario, we could see the price climbing towards the $0.3700 area. Further increases in price might suggest a possible advance toward $0.3880.

More Downsides in ADA?

If Cardano’s price fails to climb above the $0.350 resistance level, it could start another decline. Immediate support on the downside is near the $0.3420 level.

Approaching soon, significant resistance can be found around the $0.3400 mark. If this level is breached downwards, it may lead to a possible test at $0.3220. Further potential support lies near $0.3100, where we might see the bulls regaining strength.

Technical Indicators

Hourly MACD – The MACD for ADA/USD is losing momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for ADA/USD is now below the 50 level.

Major Support Levels – $0.3400 and $0.3220.

Major Resistance Levels – $0.3500 and $0.3550.

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2024-10-18 08:10