Cardano price is currently experiencing a minor pullback that could push it down to a critical support area. A resurgence of buyers in this zone will propel ADA to pre-crash levels.
Cardano price eyes a higher high
Cardano price rallied roughly 26% between May 25 and 26, but the momentum that pushed it higher seems to be fading away as it tested a ceiling at $1.833. This barrier has prevented ADA from rallying roughly four times in less than three weeks, starting from May 9.
Therefore, the so-called “Ethereum-killer’s” recent attempt at crossing this barrier appears to have failed. A continuation of investors booking profits around this barrier will lead to a 15% retracement to the demand zone, ranging from $1.488 to $1.566.
Investors can expect the bullish momentum to rejuvenate as it dips into this area. A quick bounce from this support zone that breaches $1.833 will allow ADA to climb toward $2.193, the first area of interest.
Here, Cardano price could either consolidate or experience a small retracement.
Following this, if the buying pressure continues to persist, there is a high chance ADA revisits $2.30 or retests its all-time high at $2.47.
Although unlikely, a breakdown of the support area that stretches from $1.488 to $1.566 will put a nail in the bulls’ coffin. If such a scenario were to evolve, Cardano price would likely experience an 11% sell-off to $1.322.