Peter Smith
Cardano (ADA) is retesting a crucial zone around $0.54–$0.55 after weeks of consolidation. ADA bounced from lower levels but remains below key resistance, leaving traders uncertain about the next move.
From Consolidation to Breakdown
According to trader BlockchainBaller, ADA spent weeks in a tight range below $0.90 before breaking down and creating an inefficiency zone between $0.65–$0.70. This area could act as a target if buyers regain control.
Cardano has built a floor around $0.50 and is now testing resistance at $0.54–$0.55. A strong break above this level could trigger a rally toward $0.65–$0.70. The chart shows a broken downward trendline, though without a solid daily close above $0.55, this could still be a bearish retest.
Key Technical Levels
- Immediate Resistance: $0.54–$0.55 (short-term barrier)
- Major Resistance: $0.65–$0.70 (inefficiency zone target)
- Support Levels: $0.50 (current floor) and $0.46 (next support)
- Current Price: Around $0.5421, up roughly 4% on the day
Market Sentiment Remains Mixed
ADA's movement reflects broader altcoin uncertainty. While Bitcoin's stability has helped, trading volume stays concentrated in larger coins, leaving Cardano vulnerable to volatility. Despite ecosystem developments in DeFi and governance, these fundamentals haven't sparked strong price momentum yet.
What Comes Next
The $0.54–$0.55 zone is critical. A clean break above it would likely push ADA toward $0.65–$0.70, but rejection here could send price back toward $0.50 or lower. The next few sessions will determine whether buyers can reclaim control or sellers maintain pressure.
Peter Smith
