ADA Is Up Nearly 10% On The Day, What Next?

Analyst Jason Pizzino provides forecast for ADA if the crypto market recovers.

In one Video Fresh, Pizzino says the sixth-largest cryptocurrency could enter bullish territory if it breaks above $1.40 from a low of $1.07.

“This is the area we would like to see as ADA approaches to match the previous bullish range. We want the market to at least match or extend the upward movement it made during a downtrend so you can get an idea of ​​what smart money is doing.

More buyers, reach has increased so expect the market to rise from this point as strength returns.

The upside range is longer and as a result, the price point of ADA against the US Dollar is currently around $1.40.”

Source: Jason Pizzino

Traders expect ADA to surge above $1.6 but also warn that the altcoin is likely to fall in the short-term on its way up.

“It approached our 50% level of $1.60 and then a high of around $1.64 before plunging.

There are many smaller levels that are likely to cause a short-term reversal on the way up. When that happens, rest assured that the market will remain strong as long as the lows are not broken…

In short, the first level is around $1.40, then I would like to see it move above $1.6, ideally $1.64.”

ADA price In Progress at the turning point

ADA has seen strong buying pressure for the past 5 days and suggests that this trend could continue. The price has to clear a key hurdle to confirm the sustainability of the bullish outlook.

The price surged about 26% between January 10th and 13th, hitting a swing high at $1.35. Shortly thereafter, ADA corrected by 10% and started to reverse the trend. Next, the price completely reversed and retested the $1.35 level.

From January 4th to January 16th, ADA faced this level five times. Therefore, it is more likely to be weakened and broken after the last retest. Assuming ADA bulls break, this altcoin will find $1.38 and collect buy stop liquidity above it.

In a very bullish case, will smash the weekly resistance located just below the supply zone on the 4-hour chart, which ranges from $1.46 to $1.52. While ADA may not retest $1.52, it is likely to break $1.46, bringing the total gain to 9% from where it is right now.

This move suggests that it is time to reverse the 5-month downtrend and investors can expect ADA to start an uptrend.

USDT billion 4 hours | Source: Trade View

On the other hand, once ADA fails to break above $1.35, it will show that this level is “notable”. Such a rejection led the bears to retest the weekly support at $1.20. Here, buyers could shake hands to get prices moving again, but a four hour candle close below would dampen bullish sentiment and potentially invalidate the bullish thesis.

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