The price of Cardano (ADA) is in focus as it holds at an important price level. Analysts note a potential rebound.
Cardano Price Behavior on Weekly Chart
On the weekly chart, the ADA price consolidates within a wide range following a strong upward motion earlier this year. The Rider Band provides short-term support, with candles repeatedly testing the midrange support zone between $0.58 and $0.60. This zone has historically acted as a foundation for upward moves. The chart also shows resistance in the $0.90–$1.00 range, where past rallies lost momentum. If the current support fails, analysts highlight the $0.55 level as the next threshold. A breakdown below this area might lead to liquidations down to $0.47. Volume indicators show money flow into ADA was rising in Q4 2024 and into January, but this momentum slowed in subsequent months, aligning with declining weekly candles. Recently, the money flow oscillator has stabilized, suggesting the outflow might be weakening.
Trading Signals and Strategy
Trend Rider’s Strategy #2 focuses on identifying pullbacks with subsequent confirmation signals. According to the tweet, this setup is already confirmed on the daily timeframe. The strategy involves entering near support when indicators signal a reversal or pause in selling pressure. For traders, the current level presents a possible entry point if the signal remains intact. For long-term holders, the suggested accumulation zone lies between $0.58 and $0.60, with a warning to exit or reassess if the price breaks below $0.55.
Analyst Caution and Market Impact
While the forecast suggests a potential bounce, it remains cautious. The tweet advises monitoring macro factors, particularly Nasdaq performance, which could influence crypto price behavior. The current level serves as a key technical juncture where either a rebound or further downside could follow based on short-term confirmations.
The ADA price continues to trade within a narrow range, and the next few sessions may determine whether the asset continues consolidating or re-enters a directional trend.
