Cardano (ADA) Traded at $0.7550 on May 21, Showing Signs of Recovery After a Volatile Correction

The price began to climb from the $0.72 zone after a sharp decline earlier in May. On May 8, ADA reached a local high near $0.86 before heavy selling pushed prices down

On May 21, 2025, Cardano (ADA) traded at $0.7550 on Coinbase, showing signs of recovery from a recent correction.

The 4-hour chart highlighted that ADA approached the 50-period Exponential Moving Average (EMA) at $0.7557, briefly trading above it before closing just under this key resistance.

The price began to rebound from the $0.72 zone after a sharp decline earlier in May.

Volume remained moderate at 3.79 million, signaling cautious participation as ADA must close decisively above the EMA to confirm short-term bullish continuation.

Relative Strength Index Flips Positive

The Relative Strength Index (RSI) on the 4-hour timeframe flipped above 50 on May 21. The indicator now stands at 52.82, recovering from a low near 33 recorded on May 18. This move suggests improving momentum but does not yet confirm strong bullish pressure.

Between May 9 and May 19, ADA remained in a phase of consistent selling. During this period, RSI remained within the 35-45 range, indicating weak buying interest. However, the recent rise above 50 marks the beginning of a possible trend reversal.

The 14-period RSI also crossed its signal line, further suggesting a shift in momentum. Still, the indicator must sustain levels above 55 to fully validate a bullish trend continuation.

Crucial Resistance Levels to Watch

Above the 50-period EMA, ADA faces another layer of resistance between $0.78 and $0.80. This zone capped the price twice between May 14 and May 16. Bulls must push beyond this area to reopen the path to $1. Until then, the token remains trapped in a range between $0.72 and $0.80.

If ADA manages to clear the $0.80 level, the next significant target lies at $0.86, which marked the peak on May 9. A breakout above this high could generate the momentum needed for a rally toward the $1 psychological level.

On the downside, price risks a return to $0.68 if it closes the next candle lower than $0.72. The last time price touched $0.68 was in early May. The next few sessions will determine whether buyers can sustain this pace.

The post Cardano Price Analysis: ADA Still Faces 50-Hour EMA, Key Levels to Watch appeared first on Coin Edition.