The Cardano (ADA) price has reached a pivotal weekly support level, a critical juncture where potential buyers may intervene to prevent further downturns.

After weeks of gradual declines, ADA has touched the weekly Simple Moving Average (SMA) 50 at $0.433. This level has notably served as a sturdy support for ADA since late October 2023, lending significance to its current interaction. The broader cryptocurrency market closed the previous week in negative territory, driven by a downtrend led by Bitcoin following higher-than-expected government employment data for May, which reported 272,000 jobs gained.

At present, ADA has seen a modest 0.54% increase over the last 24 hours, trading at $0.439, slightly up from its previous day's low of $0.432. This recent price action indicates ADA's positioning on a significant support level, where a substantial amount of ADA—nearly 3.47 billion coins—is held across a considerable number of addresses.

According to data from IntoTheBlock, 3.47 billion ADA were acquired by 350,940 addresses within the price range of $0.371 to $0.431, at an average price of $0.3944. Should ADA manage to maintain its position above this support level, along with its weekly SMA 50 support, and gather bullish momentum, it could signal the onset of a new uptrend. Market participants and analysts will closely monitor Cardano's price dynamics in the days ahead to discern its next trajectory.

Outlook for ADA Price Movement

Cardano currently finds itself within a symmetrical triangle pattern, indicative of a tug-of-war between bullish and bearish forces. On June 7, traders successfully pushed the ADA price above the daily SMA 50, which stood at $0.461. ADA briefly reached highs of $0.49 before encountering resistance and retracing its gains.

Presently, ADA is striving to recover from a four-day downtrend. The extent to which buyers propel the recent price rebound remains uncertain. If buyers manage to surpass the $0.49 resistance level, ADA could rally towards $0.62, with a minor resistance anticipated at $0.57.

Conversely, a breach below the daily SMA 50 at $0.461 might signal profit-taking by bulls, potentially confining ADA's price within the triangle pattern for the foreseeable future.