- Cardano (ADA) has had a rough month like other digital currencies
- ADA is facing strong resistance close to the $0.098 mark
- Cardano could test new highs if it breaks over its current hurdle point
Cardano News Today – Like other top digital currencies on the market, Cardano (ADA) had a pretty tough month. The digital currency has a significant crash on Sept. 3. Nevertheless, Cardano (ADA) was already in a weaker position than other coins in the market two weeks before the sharp decline. At the same time, it is true that the bull rally of Cardano was far more significant than that of Bitcoin (BTC) and other digital currencies, with an impressive 785 percent price increase.
Cardano (ADA) Just Broke Out of a Parallel Channel
The 13th largest digital currency by market seems to have broken out of a parallel channel it formed around Sept. 6. The digital currency is now facing a strong hurdle close to the $0.098 mark, where the 50 moving average is presently established. Furthermore, according to the IOMAP chart, the majority of the hurdle is indeed at $0.098.
This means that a break out over that level would most likely push the price of the digital currency close to $0.11, as there are only very few hurdle points close to that level. The one-hour chart of the digital currency favors the bulls after it established a strong upward trend. Nevertheless, the relative strength index (RSI) of the digital currency is on the verge of overextension.
Cardano (ADA) Might Correct a Bit before a Breakout
The last three times that the relative strength index was close to surging over 70, the digital currency retraced back for at least a few hours before it continued its uptrend. From all indications, chances are Cardano (ADA) might experience a slight pullback before a breakout. However, the next break out might be huge, as it can send the price of the digital currency significantly higher.
The price-performance of Cardano (ADA) over the past seven days has not been impressive, but it did better than many altcoins in the market. The value of Cardano is down by only 4 percent over the past seven days, as other digital currencies recorded more declines. Ethereum (ETH) is down by more than 8 percent with Tron (TRX) losing more than 20 percent of its value over the past seven days.
At press time, Cardano is trading at $0.0952 with its immediate support at $0.0940. However, the major support for the digital currency is close to $0.0900. The bulls need to prevent further losses and hold that support line very well in order to amass traction and break over its key hurdle.