Cardano Adds 7% as ADA Bears Fail to Break Below Crucial Support Level at $0.45

Cardano Adds 7% as ADA Bears Fail to Break Below Crucial Support Level at $0.45
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Cardano is perched at seventh in the crypto market cap and is one of the most resilient crypto assets.

Unlike most crypto assets, including BTC, which sunk last week, trending below critical support levels, ADA prices are resilient, bouncing from a vital support line at $0.45. At spot rates, the coin is up almost seven percent, rising with the crypto tide.

Considering the rejection of lower prices last week and the series of fundamental factors aligning with the project, ADA may be of the leading assets to spearhead the bounce in the subsequent session. This preview is valid as long as prices hold above $0.45 and traders remain optimistic about what lies ahead.

The Cardano Vasil Hard Fork

The Cardano community is looking forward to the upcoming Vasil hard fork as one of the fundamental drives of price. As the development adds, the upgrade would scale the network and make it more efficient in handling transactions and resources demanded by active dApps.

This is only necessary considering that there are over 1k projects currently building and set to deploy high-profile protocols in DeFi and NFTs.

However, there are rumors of the Vasil Hard Fork being postponed to August due to detected glitches and the requirement that all SPOs upgrade to the latest version.

Tim Harrison, the vice president of community and ecosystem at IOHK, commented that while the system enhancement is “very near”, the development team also needs to assess the readiness of dApps and exchanges.

Cardano Price Analysis

Cardano Price Analysis

From the ADA candlestick arrangement in the daily chart, the $0.45 zone is a critical support line for the coin.

Reading from the formation in the daily chart, risk-off traders can load the dips, aligning with determined ADA bulls that rejected lower prices with safety nets below $0.45. The immediate target, in this case, would be $0.66, or June 2022 high. Extended gains would further pump ADA to $0.79, March 2022 lows, and later $1.21, marking April 2022 highs in a recovery, printing a W-Formation with clear support at $0.45.

Conversely, losses below $0.45 nullify the bullish preview, possibly sparking another wave of sell-off with targets at $0.30 in the short term.

Technical charts courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.

If you found this article interesting, here you can find more Cardano News


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