Cardano is one of the coins that has seen extraordinary gains already during the first week of the year. However as most coins did, it is seeing a retracement since yesterday. That shouldn't come as a surprise as on the 1D time-frame, the RSI hit a Resistance Zone that is holding since January 2018!
More precisely, since April 2019, every test of that Resistance resulted in (approximately) a -25%, -35% and -45% correction (of course I exclude March's COVID meltdown which is non-technical). The 1D MA50 (blue trend-line) has been able to contain most such pull-backs (with the exception of May 2019, Feb 2020 and Sept 2020 which found Support on the 1D MA200 (orange trend-line)).
Based on the above it makes sense for ADAUSD to stay sideways for another 1-2 weeks until it makes contact with the 1D MA50 and then continues its bullish trend.
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I agree. It's hard to cover all the alts that either have broken out (on 4h frames, versus BTC I now mainly speak of) and are looking very good AND the alts that are deep down but showing potential to go higher (either a long flat base or wegde like patterns). Its too much. ;-)ADA is one of my tickets in the alt space to do very well.
forsakenBus1030
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Yeah, i'm seeing it drop in a few days too
CryptoeChris
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It will probably pop back .34 by Sunday. if not Ill be buying the low .20 dip