Cardano Tests Important Level, May Make Big Move

Cardano ADA/USD has hit a wall of resistance at the $1.35 level. If it breaks through, there’s a chance it makes a big move higher as Ethereum did on April 28.

Resistance is a level where there is more supply than demand. Buyers can buy all they need to without driving the price any higher. When a market breaks the resistance, meaning it trades above it, it shows that the sellers are done. They have finished their orders.

With this supply off of the market, the buyers will need to pay higher prices. This could force ADA into a rally.

The $1.35 level has been resistance for ADA over the past week. It was also resistance in February and March. It looked like ADA was going to break through in April, but this ended up being a false breakout. Within days ADA fell back through the level.

But if ADA can break through again and hold its gains for a few days, it could set the stage for a big move higher.