05 Jun

Nick Regan, host of the Cheeky Crypto YouTube channel, observed that Cardano's ADA has received support along its upward trendline. In a recent video analysis, Regan utilized various technical indicators to forecast ADA's potential price movements based on its short-term performance.

According to Regan's assessment, ADA's recent rebound from the trendline propelled it towards the 50-day SMA on the daily chart. Monitoring ADA's price action closely, Regan anticipates either a breakout or breakdown scenario.

Regan highlighted the origin of the trendline from April 13, noting multiple tests of ADA's price against it, including the most recent on June 3. He pointed out resistance levels on ADA's daily chart, emphasizing past rejections at the 200-day EMA and the 50 SMA.

At a critical juncture, Regan suggests ADA could either break out towards the 200-day EMA or break down towards support around $0.3996. Nonetheless, he leans towards a potential breakout, particularly focusing on the 50-day SMA. Regan believes that a daily candle closure above this level could trigger an ADA rally targeting the 200-day EMA around $0.4999.

ADA was trading at $0.4620 at the time of writing, maintaining a sideways trend since mid-April, as per TradingView data. Despite struggles to regain bullish momentum from the previous bull market, ADA's potential breakout might propel it to higher levels, potentially surpassing the 200-day EMA. Such a development could pave the way for further rallies in the forthcoming bull run, reminiscent of its performance during the 2021 bull market.

June 2024, Cryptoniteuae

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