(1) on the 4hr tf that is established between May 13, 2018 and July 18, 2018. The last used in drawing this i.e. ~0.00002612 is also the same used in connecting a for Cardano ( ADABTC ) that is discussed in (3) below.
(2) The region between 0.00003070 and 0.00002912 where resistance is anticipated should where Cardano ( ADABTC ) continue its momentum. Entry into a long position that is not confirmed by momentum if and when Cardano reaches resistance as indicated could result in a potential downside.
(3) in Cardano ( ADABTC ) that is established since July 2, 2018. The lower and upper line of the channel both have a minimum of two each, which means that the channel is indeed valid.
Besides, both lines have been extrapolated with the upper line especially coinciding with resistance as described in (2) above.
Another beneficial use of the channel is in projection of the price level to take profit if the risk/reward ratio on the trade is satisfactory and price moves above the upper line (i.e. 0.00003070) of the .