Analyst Nick Regan has provided an analysis of Cardano’s (ADA) price movements, offering insights into both the short-term and long-term outlooks. Regan’s breakdown covers key technical indicators and market patterns.
Moreover, he has highlighted the potential impact of the upcoming Federal Reserve interest rate decision on ADA’s price action.
ADA Price Movements and Resistance Levels
Cardano has seen a slight relief rally after falling into a price range previously predicted by the analyst. However, the upward momentum appears weak, and ADA is currently facing resistance between $0.3397 and $0.346.
These levels are critical for ADA to overcome to regain bullish momentum. Regan claims that although more upward movement is yet undetermined a recent long trade aiming at a 1.5 risk-reward ratio reached its profit at $0.34.
The analyst also highlighted important resistance areas, such as the 50 EMA and 50 SMA, which would be quite important in deciding whether ADA’s price would keep rising or encounter rejection.
ADA’s Next Move
Regan discussed both optimistic and pessimistic ADA price forecasts. On the positive side, ADA might surpass important resistance levels if it keeps its present support and moves over the 50 EMA and 200 EMA.
Moreover, this could push the price towards $0.34 to $0.345, sparking a potential upward trend. However, if ADA fails to break through these resistance points, a bearish case could unfold, pushing the price down to $0.327 or even $0.25 in the worst-case scenario.
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Market Volatility Due to Federal Reserve Decision
The upcoming Federal Reserve interest rate decision is expected to introduce volatility across markets, including Cardano. Regan noted that market players anticipate a rate increase, which would cause a relief rally followed by maybe a “sell the news” scenario.
ADA’s price can fluctuate sharply depending on the rate decision: 0.25%, 0.5%, or even 0.75%. Regan feels long term hopeful about ADA’s prospects even with the present volatility.
He suggested that anything below $0.42 represents a good range for DCAing for long-term investors. However, ADA may need to retest support levels around $0.27 or $0.25 if short-term bearish movements prevail. A break above $0.226 could signal a stronger bullish breakout.
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The post Fed Decision Looms: Will Cardano (ADA) Price Crash to $0.25? appeared first on CaptainAltcoin.
