Cardano Price Forecast – ADA Down 1%, Time to Buy the Dip?
Cardano has continued its sideways movement in the last 24hrs, first seeing a near 2% rise before sharp sell offs saw the coin twice dip to $0.36.
ADA is now 1% down in the last 24hrs.
The coin found strong support at $0.36, but its Relative Strength Index (RSI) is now just 27 on the 1-day chart - only XRP and XLM have a lower score among the top 100 coins, and it appears to be heading for 'Weak' territory.
Trading volume increased nearly 20% to $415 million.
Cardano (ADA) fell to a 21-month low last week after the release of the US Consumer Price Index.
While other coins rebounded after the inflation news was revealed, ADA has struggled all weekend and has been ranging between $0.36 and $0.38.
The token, which is down 70% in 2022 and nearly 90% from its all-time high, has its next line of support at $0.35 and its next line of resistance at $0.40.
As CryptoNews revealed on Monday, the coin is showing a falling wedge pattern on the 12-hour chart and its short-term price appears bullish now support has continually been found at $0.36.
A spike in trading volume, as has also been seen, tends to support bullish price action.
However, short-term traders must remember that volatility is likely to follow the coin in the coming days and the coin is still bearish.
Some profit-taking positions could be the 50-day SMA at $0.4178, the 100-day SMA at $0.4455 and the 200-day at $0.4692.
There are also a number of traders who believe Cardano could yet move even further down. The next line of support is $0.30 - should it break that then some believe $0.25 and even $0.15 could be in play.
Buy ADA on eToro
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Cardano has long been a favorite of longer-term
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