Key points:
- Cardano Support Tested
- Intermediate-Term Bottoming Pattern Intact
- Cardano Price Forecast
The Cardano (ADAUSD) price chart shows a recent challenge to support. However, we are still seeing the larger, intermediate-term basing pattern as intact. Below we provide potential prices forecasts, primarily bullish but highlighting downside risks and trigger points.
Cardano Support Tested
Cardano has been in a sideways consolidation phase on an intermediate-term basis since the bear market low was posted in May at 0.3885. Furthermore, price action over the past two weeks has also seen a narrower consolidation theme in the short-term, but which has had a more negative bias, with a gradual price decline in late September and early October. This produced a push down to a low at 0.4148 on Monday, below the August and July troughs, at 0.4233 and 0.4028, respectively.
A Guide to Why and How to Buy Cardano
Intermediate-Term Bottoming Pattern Intact
This ADAUSD support challenge is a concern for the large basing efforts, but the subsequent small bounce from 0.4148 has indicated a hesitancy to signal a more bearish theme. Whilst the May low holds at 0.3885, the intermediate-term base is intact.
Cardano Price Forecast
Whilst holding above 0.4148 and more notably 0.3885, therefore, we would look for a resumption of a more positive price theme and look for a Cardano recovery to take place into October and then potentially for the balance of 2023. For October, the upside risk is for a move back closer to swing resistance levels at 0.5199 and 0.5947.
Going into the end of the year, a more forceful price advance could see Cardano rally up towards the June recovery high at 0.6881 and with an overshoot threat of a more aggressive rally closer to the May chart resistance at 0.9050.
Surrender of the recent 0.4148 low, however, would likely open up the risk for a challenge to the bear market low at 0.3885, with the potential for a more bearish extension through here, towards 0.2500
