Alongside the rest of the altcoins, Cardano was a little late to the bullish rally and it did not last as long as expected. While the asset has maintained a position above $0.10 at press time, chances of a pullback below the price range is a possibility. However, the larger trend remains bullish for ADA, as the token remained in the top-10 ranked asset.
Cardano 1-hour chart
Source: ADA/USD on Trading View
As illustrated in the above chart, Cardano is currently recovering from a bearish correction. The depreciation took place after the asset breached the rising wedge pattern. However, the breakout took place during a time when the collective asset class was moving towards a bullish trend, all thanks to Bitcoin, At the moment, the bullish-ness was not evident enough on individual charts but over the next few weeks, the positive trend should follow through.
Maintaining a position above $0.90 is a positive sign for ADA after its recent re-test at the support of $0.076. While the trading volumes have remained minimal throughout the trend, more sideways movement is likely over the coming days.
Reasoning
Source: ADA/USD on Trading View
While the market indicators were not exactly bullish at the moment, there was a lack of bearish signs as well. Relative Strength Index or RSI indicated a dominance of the buyers at the moment, which the indicator nursing above the 50 line. MACD is presently bullish at the blue line remained above the red line in the chart.
There is a little bit of doubt surrounding Awesome Oscillator or AO as the green candles feebly started to recover in the charts.
Important Range
Resistance: $0.11, $0.125
Support: $0.09
Entry Position for Long: $0.097-$-0.095
Stop-Loss: $0.090
Take Profit: $0.0124
Risk/Reward Ratio: 3.83x
Conclusion
Cardano’s market remains neutral from the present price perspective but the possibility of a bullish rally is fairly high considering Bitcoin is holding high above $15,000. Towards the 3rd week or end of November, the asset should witness further price appreciation.
