polskiboyy

ADA - Broke out of down trend and on the Rise, but can it hold?

Long
BITTREX:ADABTC   Cardano / Bitcoin
On the last episode of “ADA - Is the this the moment we have been waiting for?” I mentioned serval possibilities. One of which was a bullish rally once we break through the upper downward channel line (black). And as promised ADA has come through, however we ran into a little bit of resistance at 0.0000245, which has left us desiring more.

However, all is not lost. After the 2.5 day sell off, it appears we have made a higher low. Currently we are riding the lower channel line of what appears to be an uptrend. It will be interesting to see if we get a 3rd confirmations for further validation. There is a high probability for this considering the MACD is rolling over and sell volume is currently decreasing.

If the lower channel trend line holds, I see a potential set up for an inverse head & shoulders pattern. A close above the neckline will take us to approximately 0.00030. That would be very encouraging and bullish . But I fear we may stop there temporarily as we fight through through resistance at 0.000031 and the 400 EMA .

If we get there we can talk more about it. Fingers crossed that our lower channel trend line does not become breached. Otherwise we got a long ways down to the next support.

Feedback welcome.

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