Cardano has encountered significant selling pressure following a failed $1.3 resistance breach, leading to a sharp decline. However, it finds support at the critical $0.8 level, suggesting potential bullish consolidation in the mid-term.
Recent Cardano Dynamics
Cardano faced significant selling pressure after failing to breach the $1.3 resistance zone. Market participants took profits, initiating short positions and causing the price to decline.
The Daily Chart
The daily chart shows that Cardano's failure to break the $1.3 resistance zone led to a decline. The price found support at $0.8, from which a bullish rebound has already occurred. The price range between $0.8 and $1.3 represents a crucial consolidation zone where buyers are likely to defend the $0.8 level.
The 4-Hour Chart
The 4-hour chart also reflects the rejection at $1.3, with significant selling activity driving the price down. This correction aligns with typical healthy bullish trend behavior, allowing for profit-taking and market stabilization. Cardano's price has landed within a robust support region defined by the 0.5 ($0.8) – 0.618 ($0.7) Fibonacci levels, expected to strongly defend against further declines.
With substantial support holding at $0.8, Cardano could soon resume its upward trajectory, reinforcing bullish sentiment.
