Cardano Technical Analysis: ADA Bulls To Test 20-day SMA
Daily Cardano ADA Price Analysis
- Cardano price had jumped back into the Bollinger Band.
- The strongest resistance on the upside lies at the 50-day SMA.
On June 15, the Cardano price met resistance at the confluence of the 20-day and 50-day SMAs and crashed from $1.575 to $1.16 till June 22. In the process, ADA managed to drop below the Bollinger Band. Following this, ADA buyers retook control.
Cardano Price Looks To Take Down The 20-day SMA
Over the last two days, the buyers managed to push the Cardano price up from $1.16 to $1.37and re-entered the Bollinger Band. The band has also started narrowing to show decreasing price volatility. The bulls tried to touch the 20-day SMA but have since retreated. The relative strength index (RSI) shows us that ADA still has room to grow before it becomes overbought.
Image: ADA/USD daily
As per the IOMAP, the Cardano price faces crucial resistance at the 20-day SMA ($1.50). Previously, at this level, over 75,000 addresses had purchased nearly 1.3 billion ADA tokens.
Cardano Price Is Expected To Reach These Levels
The bulls have a pretty simple task. Takedown the 20-day SMA and reach the 50-day SMA. A further rise should take ADA to $1.80 (the upper Bollinger Band).