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Cardano (ADA) has broken its long-term and short-term resistance levels, indicating the start of a new uptrend. Weekly technical analysis shows that in early January, Cardano broke out of a bearish resistance line that should lead to a significant upside move.
However, the cryptocurrency experienced price corrections and on two occasions, returned to the aforementioned resistance level, creating uncertainty among investors about its uptrend.
in the daily time frame, Cardano shows a more positive outlook. The digital currency was accompanied by a break from a short-term bearish resistance line and successfully retook the $0.3 price level. The daily relative strength index (RSI) is above 50 units, which indicates an upward movement.
Despite the positive outlook, the long-term weekly relative strength index does not show a definite sign of an upward trend; Because it is still below 50 units, which indicates uncertainty. To maintain the bullish hypothesis, Cardano should avoid closing below the horizontal price area of $0.30. Otherwise,this digital currency may drop to $0.25.
Cardano community hopes that the recent price break to higher levels indicates a continued price rally. However, due to mixed signals from weekly and daily timeframes, caution is advised to investors. Traders and investors will closely monitor the price movement and relative strength index movement to predict the future direction of the Cardano price.
