Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the opinion of the writer.

Bitcoin [BTC] fought its way back above the $20k mark after floundering about the $19.8k mark the previous day, to trade at $21.1k at press time. Cardano [ADA] has been trading within a range for a little over a month now. This presented a chance for traders to enter the market when the price reached either extreme of the range. Cardano saw a bounce from the range lows at $0.44 and presented a possible buying opportunity in a lower timeframe.

Source: ADA/USDT on TradingView

On the daily timeframe, ADA had traded between the $0.44 and $0.65 support and resistance levels for nearly six weeks. The mid-point of the range lay at $0.54, and ADA exchanged hands at $0.49 at press time.

The mid-range represented a tough resistance to the bulls, alongside the range highs. Therefore, the mid-range level at $0.54 can be used to take profit on any buys from lower down the charts.

Another factor that the daily timeframe unearthed was that the $0.488-$0.5 area acted as resistance. The current trading session was within this area but had not yet faced rejection.

Source: ADA/USDT on TradingView

The hourly timeframe showed the $0.49 level to have some importance over the past week, as it has acted as both a support and resistance to ADA. Moreover, on the lower timeframes, the $0.5 was formidable resistance over the past few days. In the same time period, the price has formed higher lows as it pushed toward the resistance.

Ergo, the lower timeframe bias was bullish. The two Supertrend indicators also agreed as they flashed a buy signal for ADA on the hourly chart. But where would an ideal entry