thecryptobasic.com
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.
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.