Cardano (ADA) approaches crucial resistance zone
The ADA follows a descending resistance line.
There are resistances at $ 0.115 and $ 0.125.
The price evolves inside a symmetrical triangle of short term.
The price of Cardano (ADA) has been on the rise since September 24. It has reached a significant resistance zone, in place since its July highs.
While a short term move above current resistance is likely, the longer term trend appears to be bearish.
ADA hits resistance
ADA price follows a descending resistance line from its July 26 high at $ 0.154. The decline that followed that peak turned out to be rapid, peaking with a low of $ 0.075 on September 24.
Although price has since rallied, it has yet to break above its old downward resistance line. The latter also coincides with the fibonacci level 0.5 of the entire downward movement.
If the price breaks its resistance, the next size resistance will be at $ 0.125.
A possible advance
In the time scale over the day, the indicators are neutral / bullish. The MACD is above 0 and the RSI is above 50, but their slope is neutral, signaling a gradual rise.
Additionally, there is no bullish divergence, and the Stochastic Oscillator has yet to form a bullish cross.
That said, the two-hour data chart suggests a likely passage of resistance.
The price evolves in a symmetrical triangle, which is a figure of neutral extension. Knowing that it appeared after an upward movement, it is likely that the price will eventually overtake this triangle.
In addition, both the MACD and the RSI are rising slightly faster, signaling a future move above the triangle. The price should therefore rise towards the aforementioned areas of resistance.