$ADA Analysis : Cardano rallies from $0.40 support as Midnight Network launches: More gains?
Cardano (ADA) has begun a gradual but steady climb, showing bullish signs across both daily and hourly charts. On the daily timeframe, ADA broke a key structure after closing above $0.439, a previous lower high, signaling the start of an upward trend. The $0.40 demand zone acted as a strong support, successfully retested over the weekend, with ADA rallying 4.9% from Sunday’s low at $0.405.
The Accumulation/Distribution (A/D) indicator has trended higher over the past two weeks, reflecting growing demand, while the MACD points to weakening bearish momentum.
On the 1-hour chart, a similar bullish structure break occurred from the $0.41 demand zone, which has also been retested. Buying pressure is noticeable, though not overwhelming, with the MACD hinting at bullish momentum despite recent volatility.
Bearish scenario: A drop below $0.406 and $0.385 could signal a short-term bearish shift for swing traders, while a fall below $0.37 would indicate a structural breakdown, prompting long positions to exit or wait for a bounce.
Bullish targets: In the short term, ADA may encounter resistance around $0.44–$0.45, but a continued recovery could push toward $0.50–$0.52. Beyond that, longer-term resistance lies at $0.68, with potential rallies to $0.70 or higher if bullish momentum sustains.
Overall, ADA’s price action shows cautious optimism, with structural support intact and momentum indicators favoring the bulls, suggesting a continuation of the recovery in both the coming week and month.
