- ADA/USD’s path of least resistance appears north.
- Bull pennant breakout confirmed on 15-minutes chart.
- Bullish crossover adds credence to the move higher.
Cardano (ADA/USD) is looking to extend the early spike following a brief consolidative stint over the last hours.
The bulls are gearing up for the next leg higher amid a bull pennant formation confirmed on the 15-minutes chart.
ADA/USD: 15-minutes chart
The pattern validation calls for a test of the $0.1500 level. As of writing, the token battles the 21-simple moving average (SMA) located at $0.1460.
The upward-sloping 100-SMA moved above the horizontal 200-SMA, displaying a bullish crossover, which adds credence to the break higher.
Also backing the case for the additional upside, the Relative Strength Index (RSI) points north while above the midline.
To the downside, immediate support awaits at the 50-SMA of $0.1445.
A sharp drop towards the $0.1418 region (100/200-SMA) cannot be ruled out if the bulls fail to defend the 50-SMA support.