Cardano (ADA) Faces Key Resistance After Short-Term Rally – Will Bulls Hold the Line?

#Cardano (ADA) is showing renewed signs of life on the charts, with short-term bullish momentum pushing the cryptocurrency above key technical levels. This sudden upside move has sparked optimism among traders, but with mid-term resistance looming, the real question is whether ADA’s bulls have enough strength to maintain control — or if a reversal may be just around the corner.

#ADA Surges Above Key EMAs as Bulls Regain Short-Term Control

#Market analyst Cexscan shared insights on social media platform X, highlighting ADA’s strong showing on the 30-minute chart. The cryptocurrency recently climbed above the 20, 50, and 100-period Exponential Moving Averages (EMAs) — a development that signals improving buying interest and growing short-term momentum.

This movement is particularly significant because EMAs are widely regarded as dynamic support and resistance levels. A clear break above them often indicates a shift in market sentiment, and in ADA’s case, the breakout suggests that bulls are starting to regain control.

#RSI Flashes Overbought Signal – Caution or Continuation?

In addition to bullish #EMAs Cardano’s Relative Strength Index (RSI) is currently in overbought territory. Traditionally, this is a warning sign that a price pullback or minor correction could be on the horizon.

However, Cexscan believes the situation might be different this time. If trading volume remains healthy, the strong upward momentum could override the typical RSI signal, allowing ADA to sustain its bullish push in the near term.

"We’re seeing powerful price action here. If the momentum holds and volume continues to back it up, $ADA could extend this rally further," Cexscan explained.

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