Despite a strong pullback from its highs in November, Kadena continues to rebound
Kadena gained strong upside momentum in recent days and made an attempt to settle above the $17 level.
The token of the proof-of-work blockchain has recently made a significant attempt to move higher which was followed by a pullback, but buyers quickly returned and pushed the coin towards the $17 level. .
It looks that Bitcoin‘s move above the psychologically important $50,000 level provided significant support to other projects in the crypto space. In fact, Bitcoin Dominance, which measures the market capitalization of Bitcoin as a percentage of total crypto market capitalization, has recently slipped below the 40% level which indicates that interest in altcoins is growing. This is bullish for many projects, including Kadena.
KDA gained strong upside momentum after it managed to settle above the 50 EMA, which is currently located near $12.50. RSI is in the moderate territory despite the recent rally, so there is plenty of room to gain additional upside momentum in case the right catalysts emerge. In addition, it should be noted that RSI is far away from the peaks that were seen back in October – November, which is also bullish for KDA.
Currently, KDA is trying to settle above the $17 level. In case this attempt is successful, KDA will move towards the resistance at the $18 level. A move above this level will push KDA towards the next resistance which is located at $18.80. If KDA gets above $18.80, it will head towards the resistance at $19.30.
On the support side, the nearest material support level for KDA is located at $15.90. If KDA gets back below this level, it will head towards the support at $14.65. A move below this level will push KDA towards the support at $13.70. In case KDA declines below $13.70, it will head towards the 50 EMA at $12.50.
Taking a look at H1 chart, we can see that RSI is close to the overbought territory but there is enough room to develop additional upside momentum. The current upside trend looks strong, so KDA will have a good chance to get above the $17 level and move towards the next resistance at the $18 level in case the crypto market mood remains bullish.
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