Cardano (ADA) Price: Sellers Run Out of Steam as Bulls Take Control
TLDR
Cardano has recovered from $0.5650 support zone and broken above key bearish trend line
ADA is trading above $0.5750 and 100-hourly moving average after months of decline
Technical analysis shows bullish divergence suggesting seller exhaustion above $0.57
Price targets of $0.67-$0.70 if current support levels hold
Critical support at $0.53-$0.5650 must hold to avoid further downside
Cardano has started a fresh increase from the $0.5650 support zone after months of bearish pressure. The altcoin crashed over 50% from its March highs above $1.00 as sellers maintained control of the price action.
The cryptocurrency had been trapped inside a descending triangle pattern for several months. This technical formation kept the price suppressed as bulls struggled to break free from the bearish structure.
Source: TradingView
ADA is now trading above $0.5750 and the 100-hourly simple moving average. The price has also cleared the 50% Fibonacci retracement level of the recent downward move from $0.6107 to $0.5630.
Bulls managed to push the price above key resistance levels at $0.5750 and $0.5800. This move came after ADA found support at the $0.5650 zone and began showing signs of recovery.
The hourly chart shows a break above a bearish trend line with resistance at $0.5760. This technical development suggests the descending triangle pattern may be weakening.
Technical Indicators Turn Positive
The MACD indicator is gaining momentum in the bullish zone on the hourly timeframe. The RSI has also moved above the 50 level, indicating positive momentum.
Source: TradingView
Technical analysis reveals bullish divergence on the chart. This pattern typically indicates seller exhaustion and suggests buyers are starting to gain strength.
The mounting support above $0.57 has held firm despite previous selling pressure. Bulls have defended this level as a critical support zone for the cryptocurrency.
Price Targets and Resistance Levels
The immediate resistance level sits near $0.5925, close to the 61.8% Fibonacci retracement level. A break above this zone could open the door for further upside movement.
The next key resistance level is located at $0.60, followed by $0.620. A close above $0.620 could trigger a stronger rally toward higher price targets.
Conservative price targets for ADA range from $0.67 to $0.70 if the current support levels continue to hold. These levels would represent the bulls taking back control of the price action.
If the rally continues beyond initial targets, the price could potentially reach $0.650 and $0.6650 in the near term. These levels would mark a substantial recovery from recent lows.
Downside Risks Remain
The bullish scenario has an invalidation level at $0.53 support. This level has already proven to be a strong support point for Cardano in previous testing.
If ADA fails to climb above the $0.5920 resistance level, another decline could begin. Immediate support on the downside sits near $0.5850 and the 100-hourly moving average.
A break below $0.5650 could open the doors for a test of $0.5450. The next major support level is located near $0.5320 where bulls might emerge to defend the price.
Loss of the $0.53 support would invalidate the current bullish setup. It would signal a continuation of trading inside the descending triangle with lower price targets.
The current technical setup shows ADA trading above key moving averages with positive momentum indicators. The cryptocurrency is attempting to break free from months of bearish pressure with support holding above $0.5650.
The post Cardano (ADA) Price: Sellers Run Out of Steam as Bulls Take Control appeared first on CoinCentral.
Filed under: News - @ July 7, 2025 10:22 am