Cardano [ADA] Price Analysis: Cryptocurrency rallies as long term bearish dips undergo reversal

The bull may have returned to the cryptocurrency market again as a majority of the assets were blinking green on the charts. This positive run has not just boosted Bitcoin but also altcoins such as Ethereum, XRP, and Cardano.

Cardano, currently ranked 11th on the charts had a tough 2019 in terms of price. But at the same time, Charles Hoskinson claimed that internal developments were going on in full swing which will enable the cryptocurrency to grow in the months to come. At press time, Cardano was trading for $0.046 with a total market cap of $1.196 billion. The IOHK founded cryptocurrency held a 24-hour market volume of $86.003 million after 11.4 percent climb over the previous week.

1 hour:

The hourly chart for Cardano showed a steady increase in its value over the past few days. ADA has been waiting for this climb and investors will be relieved to see that a bullish run was upon them. The immediate support was at $0.041 while the ADA resistance held at $0.046.

Cardano’s upper and lower Bollinger band moved parallel to each other after a bearish outbreak on January 19th. The parallel movement meant that the cryptocurrency was going through a sustained hold, mostly skewed towards the bullish territory.

The Chaikin Money Flow indicator was below the zero line for the first time in two days. The graph staying below meant that the capital coming into the Cardano market was lesser than the capital leaving it. Investors have been on the fence about diving into the sector because of rapid fluctuation, but the small rise indicated that ADA’s fortune may be turning.

The signal line and the MACD line both showed a bearish connotation. At the same time, the MACD histogram blinked red. Prior to this, Cardano enjoyed a more bullish atmosphere according to the MACD graph.

1 day:

Cardano’s one-day graph painted the picture of a cryptocurrency escaping from the bear’s clutches. The analysis showed that Cardano was enjoying a significant price climb for the first time since October 2019. The immediate support in the long term was at $0.041.

The Chaikin Money Flow indicator had shot up massively above the zero line for the first time in a long time. The CMF was now at its highest point since June 2019.

The MACD indicator witnessed a bullish crossover in the long term. The upward rise on the chart went hand in hand with the bullish MACD histogram.

The Bollinger bands for Cardano reactivated recently after a sustained price hold. The upper band and the lower band diverged from each other, indicating a bull run. This was also the first major Cardano bull run in 5 months.

Conclusion:

The current atmosphere seems to be bullish for Cardano after half a year of a bearish trudge. A majority of the aforementioned indicators sided with the bull and the cryptocurrency will be happy to know it is part of the altcoin surge. Although the price was climbing at the time of writing, holders need to be wary of the dynamic cryptocurrency market.