In today’s trading session, Cardano managed to climb by a total of 6% to reach a height of $0.09677, slightly below the 2019 high at $0.1. The cryptocurrency has since fallen slightly toward the $0.09 level due to the increase in volatility after Bitcoin spiked above $9,000.
Source: CoinMarketCap
Cardano has now seen a 14% price increase over the past 7 trading days with a further 26% price increase over the past 30. Furthermore, throughout the past 3 months, Cardano has exploded by a total of 106%.
The cryptocurrency is now ranked in the 11th position in the market cap rankings, as it currently holds a $2.32 billion market cap valuation.
Let us continue to analyze ADA/USD and highlight some support and resistance moving forward.
Cardano Price Analysis
ADA/USD – MEDIUM TERM – DAILY CHART
What Has Been Going On?
We can see that during mid-May, Cardano had reached the resistance at $0.0939 (after spiking toward $0.1) and rolled over to fall into support beneath the $0.0754 level. After reaching this level of support, Cardano rebounded and has now managed to reach the previous resistance at $0.0939.
Cardano even managed to spike higher toward $0.09677, but has subsequently fallen due to BTC dropping over $500. Cardano is now trading at the $0.09 support level.
Will We Breach $0.1?
If the bulls can regroup and begin to push the market above the resistance at $0.0939, provided by a medium-term 1.618 Fibonacci Extension level (drawn in blue), we can then expect the next level of contention to be located at the $0.1 level.
Above $0.1, further higher resistance can then be found at $0.107, and then at the bearish .5 Fibonacci Retracement level (drawn in red), priced at $0.1120.
If the buying pressure continues to break above the $0.1120 level, further higher resistance is then expected at the short-term 1.272 and 1.414 Fibonacci Extension levels (drawn in purple), priced at $0.1177 and $0.1268, respectively.
What If the Sellers Resume Control?
Alternatively, if the sellers push ADA/USD lower, we can expect immediate support toward the downside to be located at $0.09, $0.085, $0.08, and $0.075. Further support beneath this is located at $0.07 and $0.06456.
Conclusion
The recent push toward the $0.09677 level put Cardano in a good position to breach the $0.1 level. However, the recent price drop from Bitcoin has now caused the advantage to be decreased slightly, as Cardano now sits around $0.09. If we would like to see ADA/USD breach $0.1 the cryptocurrency will still need to contest and close above the strong resistance at $0.09398.
