- Cardano continues to recoil from its current support around $1.92, encountering the challenging level at $2.2.
- MACD shows massive bullish signs, catalyzing surges towards the ATH at $2.5.
- IOMAP reveals a colossal resistance awaiting to hinder ADA recovery.
Cardano trades in the green area as the Thursday Asian session approaches the end. The bullish attitude emerged after ADA found support near $1.92 following losses from its 3-month high at around $2.25.
The ‘smart’ contract coin exchanges hands at $2.08 after the $2.2 obstacles challenged the uptrends. Sellers’ congestion around this zone remains intact, preventing recovery attempts as buyers aim the record high around $2.5.
Cardano’s Bullishness with Massive Resistance
The near-term technical outlook seems to flip bullish as the token rose from $1.92. The four-hour chart shows an awaited bullishness by the MACD indicator, but the $2.2 barrier seems to annul the bulls’ narrative.
If bulls succeed in sustaining ADA actions over $2, the market will gain enough stability, increasing the probability of MACD switching to bullishness. At the moment, maintaining over the mean-line supports bulls. However, the 12-d EMA needs across over the 26-d EMA to confirm the recovery and boost the bull’s power to conquer the $2.2 barrier.
ADA trading over this zone might trigger increased buy orders as market players target $2.5. For now, analysts expect investor interest to surge after the Alonzo upgrade.
Meanwhile, the IOMAP metric indicates an immense resistance that could suppress the awaited surges at $2.17. Keep in mind that about 61,000 addressed purchased 1.1 billion ADAs around this level. They might break even due to the price increases, diminishing the bullish pressure.
However, if the downside path appears smooth, ADA will have massive support offered by $1.97. As long as Cardano maintains this zone, it will alleviate corrections, allowing bulls to battle their way towards $2.5.
For now, positive sentiments are necessary for ADA to sustain over its critical levels. The network rode bullish waves over the previous sessions. That followed the networks upgrades and the broader market support. Analysts are anticipating ADA to rally after the Alonzo update.
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