ADA Signals Bullish Divergence, a Retest of $1.3 Incoming?

ADA Signals Bullish Divergence, a Retest of $1.3 Incoming?

https://ift.tt/3p8Q89Y


Despite ADA dropping to support, it has formed a bullish divergence, indicating a possible move higher soon.

Key Support levels: $1.2, $1

Key Resistance level: $1.3, $1.5

ADA retested the support at $1.2 yesterday, making a lower low. However, the RSI has made a higher low, signaling a bullish divergence. So long the key support level holds, ADA has a good chance of getting back into the uptrend and maybe attempting to break out of the resistance at $1.3.

Chart by TradingView

Technical Indicators

Trading Volume: Volume is low, but this is typical for weekends. The coming weekdays may bring some much-needed volatility back to ADA.

RSI: As mentioned above, there is a bullish divergence at the daily RSI. This is a positive sign for buyers and may give them the momentum needed to escape from this area and break higher.

MACD: The MACD on the daily timeframe did a crossover to the positive side last week. The bulls maintained this momentum so far despite the support level being retested. If this continues, ADA will likely attempt a rally soon.

Chart by TradingView

Bias

The current bias is neutral. If ADA can break above the key resistance at $1.3 and close above it then the bias can change to bullish.

Short-Term Prediction for ADA Price

ADA’s price is just above the key support at $1.2, and it will likely stay here until momentum changes; of course, this is also dependent on the overall crypto market’s momentum. The indicators support the option of retargeting the $1.3 resistance, but this has yet to be seen during the next week.

SPECIAL OFFER (Sponsored)

Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month

(

terms

).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to get 50% free bonus on any deposit up to $1750.

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.

Source link

Cryptocurrency

Get In Touch