Hello Traders,
From the charts, it clear that Cardano has been in sharp down trend and inside a downwards channel. There have been multiple touches on both upper and lower lines and price could fall to next level of major support at $0.40 region. This would be a great accumulation opportunity in my opinion.
Bearish divergence can be seen between first and second peaks at all time highs which confirmed a trend reversal. However, since then the strength of the pattern is becoming weaker as lower volume peaks can be observed on a macro level. Bullish breakout of the upper line and a sustained retest of might invalidate the structure and set Cardano for its next major leg.
From the charts, it clear that Cardano has been in sharp down trend and inside a downwards channel. There have been multiple touches on both upper and lower lines and price could fall to next level of major support at $0.40 region. This would be a great accumulation opportunity in my opinion.
Bearish divergence can be seen between first and second peaks at all time highs which confirmed a trend reversal. However, since then the strength of the pattern is becoming weaker as lower volume peaks can be observed on a macro level. Bullish breakout of the upper line and a sustained retest of might invalidate the structure and set Cardano for its next major leg.
Comment:
After breaking out of the channel, it is now re testing the previous upper line as support. As BTC has fallen from major level of support and is now forming lower lower on macro charts, this will consequentially cause ADA to also fall back into this channel and towards second accumulation zone