• Cardano (ADA) price is showing positive signs above the $0.3500 zone against the US Dollar.
• A key contracting triangle is forming with resistance near $0.3980 on the 4-hour chart.
• If ADA breaks above $0.4000, it could start a strong increase towards $0.420 and beyond.
Cardano (ADA) Price Analysis
Cardano price is rising above $0.3800 against the US Dollar, similar to bitcoin. ADA price could rally if there is a clear move above the $0.400 resistance.
Current Situation
This week, cardano price started a steady increase above the $0.350 resistance zone against the US Dollar. The ADA/USD pair gained pace for a move above the $0.362 and $0.380 levels.
There was a clear move above the 50% Fib retracement level of the downward move from the $0.4093 swing high to the $0.3711 low and it also broke throught he $ 0 .380 level and settled well above the 55 simple moving average (4-hours).
Potential Upside Movements
On the upside, immediate resistance is near the $ 0 .3950 zone with a key contracting triangle forming with resistance near$ 0 .3980 onthe 4-hours chart.
The next major resistance is nearthe$ 0 .4000zone whichisnearthe76 .4% Fibretracement level ofthe downwardmovefromthe$ 0 .4093swinghighto theminimumat$ 0 ,3711
.Aclear mo veabovethe$ 0 ,4000resistancemightstarta strongincreasetowards$ 0 ,420.
Potential Downside Movements < p > On t he downside, animmediate supportisnear t he$ 0 .385levelwiththemajor suppor t beingnear t he$ 0 .380level.< p >A clearmo vebelowt he$ 0 .380levell might sendt he pricet owards t hem inimumat$ o ,37 2andbeyondthispoint i twouldbeheadingt owards t hesuppor t ato$, 35o.
< h 2 >Conclusion < p > Overall, Cardanopricecould resumeitsincreaseifitstay sabovetheseveral suppor tlevelsmentionedaboveandbreaksthekeyresistance attheo$. 400marker.