Hello guys!
Cardano has been trading within a rising parallel channel after forming a clear Inverse Head and Shoulders pattern, triggering a bullish breakout. However, recent price action has shown signs of weakness, especially with a noticeable bearish divergence between the price and RSI.
What I see:
The price is approaching the lower boundary of the ascending channel.
A channel breakout to the downside could lead to a deeper correction toward the $0.58–$0.62 support zone (highlighted area), which aligns with previous consolidation and the neckline of the inverse H&S.
If bulls defend the channel and push price higher, a potential rally toward the $0.93 resistance level remains in play.
⚠️ Keep an eye on the channel support and RSI behavior to anticipate the next move.