The Cardano (ADA) price is testing a crucial support level after a significant decline, with fresh signals suggesting a rebound as bearish momentum fades.
A fresh update from TradingView analyst “AltcoinPiooners” shows that the altcoin has been sliding within a descending channel in recent days. According to him, ADA looks set to regain upward momentum as it consolidates within a crucial support zone that has previously triggered multiple bullish bounces.
Notably, ADA trades at $0.519, a 7.3% decrease in the past day, which translates to a modest 3.3% weekly decline. Following this recent downtrend, ADA has seen a 24.9% drop in the past 30 days.
Cardano Key Support and Resistance Levels
Since reaching $0.608 on November 11, ADA has been falling within a clear descending channel pattern. AltcoinPiooner’s latest analysis shows that the ADA price has been consolidating around the $0.513–$0.5208 support region in recent days.
Citing market conditions such as fading sellers’ momentum evident in low-volume dumps, the analyst says ADA is primed for a rebound. Coupled with the Relative Strength Index (RSI) sitting at 33, which implies oversold, and bullish signals from the Moving Average Convergence Divergence (MACD), he expects ADA to hold the $0.5208 support.
Indeed, this support zone has repeatedly triggered upward momentum in recent days. On November 6, ADA fell to the $0.5208 zone but later rebounded 5.6% to $0.5499.
Again, the ADA price retested this support level on November 7, and this time, it rallied by over 13% to surpass $0.59 the following day.
While ADA’s price fell to $0.513 on November 14 due to a broader market crash amid the U.S. government reopening, AltcoinPioners predicts a rebound to the descending channel top and other targets.
Possible Upside Targets for ADA
First, the analyst expects Cardano to bounce back to $0.58 in the short term. This translates to an 11.54% increase from ADA’s current price of $0.52 at press time.
He further expects ADA to reach $0.65 if buyers build momentum to break the $0.608 resistance zone, seen at the top of the descending channel.
Notably, the ADA price would need to increase by 25% from current levels to reach that target. While warning of a possible decline below the crucial $0.52 support level, he remained bullish as the RSI shows an oversold market condition.
In a previous report, AltcoinPiooner argued that a deeper correction below this level is unlikely. Meanwhile, another market watcher has projected an even stronger price 97% for Cardano once bulls regain strength.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
