ADA Technical Analysis: ADA Price Nearing March Low; Buy Again?

Key technical points:

Past Performance of ADA

At the end of March, the ADA chart showed multiple higher rejection candles at $1.22 resistance, indicating the sellers are aggressively defending this level. Amid the recent sell-off in the market, the coin price turned down from this level and sank below the $1 psychological support. Anyhow, the altcoin current traders are 0.83 mark with a 32% loss from the overhead resistance($1.22)

Source-Tradingview

ADA Technical Analysis 

The sustained selling has breached the 20, 50, and 100 EMAs support as it gradually nearing the March bottom support of $0.77. however. previously this support level has triggered a 58% recovery rally, making it a strong accumulation zone for buyers.

In a bearish sequence, the declining crucial EMAs(20, 50, 100, and 200) reflect a solid bear trend. Moreover, the 20-day EMA gives dynamic resistance to the ADA price.

MACD Indicator: The fast and slow lines gradually lowering beneath the neutral line suggest aggressive selling from the traders. However, the faded red bar on the histogram chart predicts a slight weakness,

RSI Indicator:  The RS(35) slope drops deeper into the bearish territory, indicating strong bearish momentum. However, the indicator value may soon reach the oversold region, bolstering the reversal theory.

In a nutshell, the ADA technical analysis forecasts a possible reversal opportunity as price approaches an active accumulation zone.

Upcoming Trend 

If the ADA price rebounds from the $0.77 support, the buyers will drive the altcoin back to the $1 physiological level. However, a bullish breakout from $1.2 resistance is needed to initiate a genuine recovery rally.

Alternatively, a fallout from $0.77 support would signal downtrend resumption and pull the price into the lower regions.

Resistance Levels: $1 and $1.2

Support Levels: $0.77 and $0.7