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ADA Bulls Buck Bearish Trends, Eyes Set on Breaching Resistance

Published 01/04/2023, 09:48
Updated 01/04/2023, 10:15
ADA Bulls Buck Bearish Trends, Eyes Set on Breaching Resistance

  • ADA shows bullish solid momentum and potential for further price gains.
  • Traders should use stop-loss orders to protect against sudden market swings.
  • The Chaikin Money Flow and Fisher Transform indicate a positive outlook for ADA.

Despite the bear’s attempts to buck the trend, Cardano (ADA) bulls have had the most market control in the last 24 hours. During the bull run, the support and resistance levels were $0.3709 and $0.39, representing the “buy” and “sell” zones, respectively. As of press time, the bullish power was still strong, with ADA trading at $0.3898, a 3.03% increase, and showing signs of further upward movement.

If this bullish power continues and breaks the $0.39 resistance, the next resistance levels may be at $0.40 and $0.42, which could attract more buyers and further increase ADA’s value. However, if the bears gain control, the support levels at $0.3709 and $0.35 may come into play.

While the market capitalization rises by 3.25% to $13,571,695,638, the 24-hour trading volume falls by 4.36% to $396,835,225. This move suggests that the bullish momentum is fading and that the market may enter a period of consolidation before the next big move.

ADA/USD 24-hour price chart (source: CoinMarketCap)

The positive momentum in ADA is expected to continue soon as the Bollinger bands broaden as the market continues north. This movement shows that traders might consider investing in ADA in anticipation of additional price gains. The top bar hits 0.399, while the lower bar touches 0.353, demonstrating bullish momentum.

The Aroon up reading of 100.00% and the Aroon down reading of 71.43% indicates that ADA is in a strong uptrend and that purchasing pressure will likely continue. This trend, however, implies that traders should be careful and utilize stop-loss orders to protect themselves from any rapid market swings that might result in a price decline.

ADA/USD chart (source: TradingView)

The Chaikin Money Flow (CMF) motion north, with a reading of 0.46, suggests that the bullish momentum in ADA may continue because money is flowing into the market. This move boosts traders’ confidence in the ADA market and may entice more investors to join the bullish trend, potentially driving up the price even further.

A Fisher Transform reading of 0.52 and moving above its signal line confirms the bullish sentiment in the ADA market, indicating a potential buying opportunity for traders looking to capitalize on the upward trend.

If it falls below its signal line, it may indicate a shift toward bearish sentiment, and traders may want to consider taking profits or cutting losses.

ADA/USD chart (source: TradingView)

ADA bulls show strength, pushing past resistance levels. Traders should utilize stop-loss orders & watch for potential market swings as momentum continues.

Disclaimer: The views, opinions, and information shared in this price prediction are published in good faith. Readers must do their research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be liable for direct or indirect damage or loss.

The post ADA Bulls Buck Bearish Trends, Eyes Set on Breaching Resistance appeared first on Coin Edition.

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