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Cardano bounces back with 12% as the price approaches resistance; is $0.5 still a possibility?

The price of ADA exhibits strength as it recovers from a decline with full volume and targets a recovery to $0.50.

Photo by Michael Förtsch / Unsplash

The price of ADA exhibits strength as it recovers from a decline with full volume and targets a recovery to $0.50.

What's happening?

As the price encountered a severe rejection below major resistance, ADA (1) confronted a rejection, moving upward over $0.4. As the price attempts to rise through important marks, it maintains a tight hold below the 50 Exponential Moving Average (EMA). The price of Cardano (ADA) has held steady as it moves near the $0.4 zone, encountering resistance to go higher to the $0.5 region.

This week, the cryptocurrency market appeared more stable thanks to recent price increases in Bitcoin (BTC) and Ethereum (ETH) (2). Smaller currencies like Cardano (ADA), which rose from its downward movement to a high of $0.4 as price sought to breach its critical barrier, have benefited from this current relief rally across the crypto market.

Price Analysis Of Cardano (ADA) On The Weekly Chart

While many altcoins have struggled to trend in a range market, the price of ADA has moved downward. Its price went from a high of $3 to $0.3, decreasing more than 70%. The price of ADA recently dropped from a record high of more than $3 to a range of $0.75 before resuming its upward trend to a high of $1.3. The price of ADA encountered resistance from $1.3 to rising above it.

When the price of ADA was rejected at $1.3, it plummeted to a region of $0.4, where it seemed to have built solid Support and, most likely, a demand zone for upcoming buy orders. However, this wasn't the case, as the price fell slightly to a weekly low of $0.35. ADA's price increased from $0.35 to a high of $0.4, with a target price of $0.5. ADA's general design seems advantageous, with a strong likelihood that prices will test again in the $0.5 and higher regions. We could witness a retest of $0.35 if ADA is unable to break and maintain above $0.43. ADA price resistance for the week is between $0.45 and $0.50.

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Analysis Of The Price Of ADA On The Daily  Chart

The price of ADA continues to maintain steady and trades above the crucial level regularly. After the price recovered from its daily low, Support appeared at $0.35, and most crypto assets currently appear to be in a favorable market. The 50 EMA must be crossed and maintained above for the price of ADA to rise. The price of $0.4 acts as resistance for the price to break higher to a region of $0.5, as it is the value of the 50 EMA. ADA price resistance daily is $0.42. at the same time, Daily Support is $0.35 for the ADA pricing.