The price of Cardano started to drop below $0.280. Key signs indicate that ADA is in trouble and that there are likely to be further declines below $0.252.

Below the $0.285 mark, the price of ADA is trending downward versus the US dollar.

The price is currently trading above $0.280 and the 4-hour 100 SMA.

On the 4-hour chart of the ADA/USD pair (data source from Kraken), there is a significant bearish trend line forming with resistance near $0.274 (data source from Kraken).

If the resistance level at $0.280 is closed above, the pair may begin a recovery wave.

Cardano’s ADA Price Faces Uphill Task

Cardano’s price recently experienced a new fall from far above $0.288. Similar to Bitcoin and Ethereum, the price went below the $0.285 and $0.280 support levels to enter a negative zone.

Even lower than $0.265 was reached before the price tested the $0.245 support. The price has made a low near $0.2455 and is currently consolidating its losses. Above the 23.6% Fib retracement level of the decline from the $0.3018 swing high to the $0.2455 low, there was a slight gain.

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The $0.270 zone is where the bears are active, though. The price of ADA is currently below $0.280 and the 100-hour simple moving average. On the 4-hour chart of the ADA/USD pair, a significant negative trend line is also developing, with resistance located close to $0.274.

On the upside, about $0.270 is where there is immediate resistance. Near the $0.274 area and the trend line, the first significant resistance is building. It is not far from the level of the 50% Fibonacci retracement of the decline from the $0.3018 swing high to the $0.2455 low.

More Losses?

Cardano’s price may begin a new slide if it is unable to rise over the $0.274 barrier level. On the downside, there is immediate support close to the $0.252 mark.

Near the $0.2455 mark, there is the next significant support. The $0.2455 level would need to be broken on the downside to allow for a steep new slide toward $0.220. The next significant support is close to the $0.200 mark.

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