- Kadena (KDA) has been on a bullish trend since breaking out of a rising wedge pattern, with prices testing the 50-day moving average as a critical resistance point.
- The KDA/BTC pair shows neutral movement with a slight uptick, forming a double bottom formation that suggests potential bullish opportunities.
Kadena (KDA) has maintained a strong bullish trajectory after breaching the declining trendline that held for three months. Following a substantial 83% decline from its all-time high, the coin found support around $4.4, a level that marked a critical turning point for the bulls. This resurgence was propelled by high trading volume, which helped KDA break above the downward trendline, marking a significant shift in market sentiment.
Currently, KDA is trading at $8.81, experiencing a slight 0.79% decline, but remains firmly above the 20-day moving average as it continues to test the 50-day moving average, which acts as a key bullish hurdle.
The price action shows that the KDA coin is consolidating above its ascending trendline on the 4-hour chart, signaling continued upward momentum. Despite the ongoing bullish sentiment, the coin faces resistance near the 50-day moving average, an essential level that, if broken, could pave the way for further upward movement. Volume levels have also increased by 14% over the past 24 hours, reaching $151 million, indicating growing investor interest and market activity.
According to Fibonacci retracement analysis, the support level near $4.4 is crucial for maintaining the current bullish momentum, while the resistance level stands at $16.4, which represents the 0.5 Fibonacci retracement level. Breaking past this resistance could set the stage for a more extended rally, with investors closely watching these technical levels.
Meanwhile, the Kadena/Bitcoin (KDA/BTC) pair is trading slightly positive, up by 0.6% at 0.0002028 satoshis. The pair has formed a double bottom pattern on the daily chart, a classic bullish indicator suggesting potential upward movement. The support at 0.00014 satoshis has seen aggressive buying activity, reinforcing bullish sentiment.
The next significant resistance level lies at 0.000239 satoshis, which could serve as a key barrier for further gains. The Supertrend indicator also points to a bullish outlook, providing a fresh signal for investors looking to enter the market.
However, despite the bullish indicators, caution is advised as the Relative Strength Index (RSI) remains flat near the overbought zone, indicating a potential slowdown in bullish momentum. Additionally, the Average Directional Index (ADX) continues to trend lower, suggesting that while the trend remains positive, the strength of the momentum is weakening. This mixed technical outlook suggests that while Kadena’s price action remains bullish, the market may face some volatility as it tests key resistance and support zones.
With the market dynamics in play, KDA’s ability to maintain above its crucial moving averages and trendlines will be pivotal in determining its next move. Investors should keep an eye on trading volumes and technical signals, which will provide insights into the strength of the ongoing bullish trend.