Cardano Price Prediction: ADA/USD looks bearish for the short term

Summary

• Cardano price prediction is bearish today.
• ADA-USD briefly spiked above $2.30 resistance yesterday.
• Cardano is set to retrace before further upside.

Cardano price trend has now broken below its previous low, which is a bearish signal. As the Cardano price rise was reversed yesterday after peaking above $2.30 for a brief time, we anticipate that the downtrend will resume.

Cardano price movement in the last 24 hours: Cardano returns below $2.30 resistance

As you can see above, yesterday’s Cardano price movement was brief but bullish. We were anticipating resistance at the trend line to fail, which did indeed happen after a decent bounce followed by a spike to around $2.30 – where strong resistance was found, and the Cardano price dropped again.

This downtrend is set to continue throughout the day, with Cardano testing lows around $1.80 today. If the price moves above $2.30 again, we should expect further resistance at the 50% Fibonacci retracement.

According to CoinMarketCap Cardano is currently trading at $2.26, however, its trading volumes have dropped by 1%.

ADA/USD 4-hour chart: ADA set to retrace further?

On the 4-hour time frame, we can see that the Cardano price has retreated after failing to hold above $2.30, indicating more losses are ahead.

ADA/USD 4-hour chart. Source: TradingView

The pair ADA/USD began to climb on October 1, reaching a new low of $2.30 at one point before rallying higher the next day. This price movement shows that the market is now trading in a tighter range.

Price action on the 4-hour time frame shows that opportunities to sell on pullbacks are beginning to present themselves, which makes the short term bearish. The most recent candle has closed below the 23.6% Fibonacci retracement level, which means that ADA/USD will likely continue to decline throughout the day.

However, since this is just a 4-hour chart, it is not telling the whole story of this price movement today. We do believe that some opportunities are arising, which we will discuss further.

We can see some more signs that ADA/USD is looking bearish on the price chart on the daily time frame. If we take a look at the Convergence Divergence indicator, we can see some divergence developing on both

On the one-day chart, we can see that ADA has completed a downside break of its previous range below $2

The ADA/USD pair has made its third consecutive higher low after establishing a $2.15 bottom following a decline to $2.15. Where another higher low was established. ADA consolidated once again yesterday, when a spike above the prior high of $2.30, indicating that the market momentum has turned bullish again.

Cardano Price Prediction: Conclusion 

Cardano price prediction is bearish for the next 24 hours as a rejection for further upside was seen yesterday. Therefore, we expect ADA/USD will continue lower over the next 24 hours and look to set a higher low.

you can also read our previous ADA/USD and Chainlink price predictions.