ADA has continued to suspend bearish momentum following the latest buying pressure, although there is no certainty if it will last long. A surge above the monthly high could trigger a new positive sentiment.
Following this month’s recovery from a low of $0.317 to a high of $0.45, which led to a temporal halt in the short-term bearish correction for two weeks, ADA resumed selling but later found a solid level at $0.381.
While this level stands as support since yesterday, the price bounced and currently looks strong on the day. A continuous surge from the current trading level could lead to a new buying phase in the next few days.
Such a scenario could bring the bulls back in action if the price breaks through the monthly high, although they must retake March’s $0.8 high to fully gain control of the market.
But looking at the market structure, ADA is still under the bears’ radar from a technical perspective. A daily close below yesterday’s low could facilitate more drawdowns to the monthly low before breaking lower.
A double-bottom formation from that low should bring a strong price recovery capable of activating a fresh bullish rally from a macro level.
ADA’s Key Levels to Watch
Source: Tradingview
Considering the latest slight recovery, ADA may face resistance at $0.45 if the price continues to increase daily. A successful flip through this resistance could allow buying to the $0.49 and $0.522 levels.
If the price drops below yesterday’s low, the $0.35 level is the closest support to watch for a test. Below this lies the monthly $0.317 low.
Key Resistance Levels: $0.45, $0.49, $0.522
Key Support Levels: $0.381, $0.35, $0.317
- Price: $0.412
- Trend: Bearish
- Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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