Cardano Displaying Strength: Will the ADA Price Reach the Top or Not?

The post Cardano Displaying Strength: Will the ADA Price Reach the Top or Not? appeared first on Coinpedia Fintech News

The markets are displaying some strength after being stuck within a bearish influence for a while. The bitcoin price has soared above $43,000, with a rise of nearly 5% in the past 24 hours. This rise has caused other altcoins to manifest some strength. The Cardano price has regained its levels above $0.6 after hitting the interim lows at $0.544. The recent rebound is expected to lift the ADA price above the bearish influence. But on the other hand, it also flashes the possibility of hitting the lows below $0.4.

The ADA price initially showed up and is trading within a bullish pattern in a triangle as a continuation. Besides, in the short term, the current trend suggests the price is trading within a bearish pattern with a rounded top. The price has soared by more than 200% within 5 to 6 months, and hence a correction was much expected. However, the correction may further develop but may also attract additional growth soon.

The above chart displays the volume behaviour that supports the additional growth as it has continued in recent times. The top pattern appears bearish and the RSI is lower as well, due to which mixed signals have been emerging. The markets were trading under a bearish influence, and hence the ADA price is also expected to follow the trend even if it produces a minor rebound.

The ADA price broke above the wedge, soared beyond 70%, hit the yearly high at $0.68, and faced rejection. Despite this, the price is trading within a bullish pattern within a pennant, displaying the chances of a bullish breakout. Besides, the bulls appear to be weak enough, as the price has almost reached the edge of consolidation. This may be a bearish signal for the token, which may lead to a drop below the $0.5 FIB level at $0.45 or even lower.

Therefore, the upcoming couple of days are expected to be extremely important for the Cardano (ADA) price, as a minor pullback from these levels may trigger a fresh descending trend.