📊 Cardano (ADA) Market Analysis – May 2025 Update
Cardano has shown solid strength recently, pushing past key levels, but it’s now facing a major resistance zone that may cause short-term pullbacks. Here's the current technical setup:
🔍 Current Price Structure:
ADA recently tested $0.825–$0.83, a historically strong resistance zone.
This level includes the 0.5 Fibonacci retracement and value area high since February.
Bearish divergence is forming on both volume and RSI, suggesting slowing momentum.
📉 Short-Term Expectation:
A pullback is likely before any clean breakout above $0.83.
The key support zone to watch is $0.75–$0.71 (includes major confluences like the Point of Control (POC)).
🎯 Trade Setup (Swing Trade)
✅ Entry Zone:
First entry: $0.75 (if strong reaction/candle confirmation)
Add zone: Down to $0.715 (only on strong wick or reclaim)
🛑 Stop-Loss:
Below $0.69 (structure invalidation)
🎯 Targets:
1. $0.78 – minor resistance
2. $0.82–$0.83 – retest of resistance zone
3. $1.00–$1.05 – midterm breakout target if $0.83 breaks with volume
📈 Bullish Confirmation:
Clean break and close above $0.83 on volume = continuation to $1+
🧠 Summary:
ADA remains bullish midterm, but short-term correction toward $0.75–$0.71 is likely. This zone presents a solid buy-the-dip opportunity with proper risk management. A sustained move above $0.83 opens the door to $1+ levels.
#TradeOfTheWeek #MarketAnalysis #CryptoNews #MarketUpdate #trading