- Cardano’s price has been following Bitcoin’s movement but is yet to create a new record high, facing resistance at the $1.2 level in the USDT pair.
- In the BTC pair, Cardano is forming a head and shoulders pattern above the significant 1,000 SAT level, and a breakdown below this support could lead to a drop towards the 200-day moving average around 700 SAT.
- If the 1,000 SAT support holds, a rally towards the 1,500 SAT resistance zone is likely in the coming weeks.
The world of cryptocurrency is ever-evolving and complex. One example of this is Cardano’s struggle to break the $2 mark. Despite following Bitcoin’s trend over the past few weeks, Cardano has yet to hit a new record high. This could change soon if it overcomes one significant obstacle.
The ADA/USDT Chart Analysis
Cardano’s price trajectory on the ADA/USDT chart shows promise. It has been surging almost vertically, breaking above several resistance levels, including the key trend indicator, the 200-day moving average. However, the $1.2 resistance level is acting as a barrier, preventing the market from rising further. The price is currently consolidating below this level. Despite the formation of a potential head and shoulders pattern, as long as the $0.75 support zone stands, the market structure remains bullish, and a new record high is within reach.
The ADA/BTC Chart Perspective
The ADA/BTC chart paints a nearly identical picture, except for one crucial difference. The ADA/BTC chart creates the head and shoulders pattern above a significant level – the 1000 SAT area. If the neckline of the pattern, which aligns with the 1000 SAT support level, breaks down, a drop toward the 200-day moving average located around the 700 SAT mark is probable. However, if the 1000 SAT area holds, a rally toward the 1500 SAT resistance zone could occur in the coming weeks.
Conclusion:
The journey of Cardano’s price towards $2 is fraught with resistance levels and technical patterns. As the market unfolds, it remains to be seen whether Cardano can overcome this resistance and reach new heights. As always, investors are advised to conduct their research before making any investment decisions. The world of cryptocurrency, while exciting, is also highly volatile and requires a keen eye for detail and understanding.
