First of all I would like to take you to my old article that I published on 19th August 2019 and on this chart I revealed that Cardano has formed a pattern. This pattern was started from Feb 2019 and completed on August 2019.
And as per Fibonacci sequence of it was expected that the price action will enter in the of C to D leg from 0.382 to 0.786 level. If the price action would cross up the 0.786 level then it would turn more but unfortunately after visiting the area or sell zone the priceline dropped at the support.
Dropped on strong support:
At this time we have a strong suppor at $0.027 and we can see so far it is proven very strong support as on 13th March 2020 on a really very strong and long tried to break down this support but even after hitting far more beyond this support the retraced back above the . It can be expected that the priceline would move at this sideways for some more time.
Bullish on 2 day chart:
Now let's come to the point that I want to share with you and that is has formed within other let's take a look at 2 day chart.
Here on 2 day chart the price line has formed a pattern let's have a look how perfect this pattern is formed after initial leg the A to B leg is retraced between 0.382 to 0.618 Fibonacci level and B to C leg is projected between 0.382 to 0.886 of A to B leg. After that the last leg is retraced between 1.27 upto 1.618 Fibonacci level. Even though the price action has hit the potential reversal zone and retraced back and has hit the area of A to B leg from 0.382 to 0.786 but I am expecting that it will be turned more soon and it can even cross up 0.7886 level because we have more patterns on log term charts.
Bullish on weekly chart:
Now let's move to the weekly chart where the price action of has formed pattern. Let's have a look how perfect this pattern is formed. The initial leg was started in December 2019 and completed on Feb 2020. Then A to B leg has been retraced between 0.618 to 0.786 Fibonacci level that is the first confirmation of pattern. Then B to C leg is moved up between 0.382 to 0.886 area of A to B leg and here we have received the second confirmation of . Now we can see the recent strong rally has helped the price action to complete the final leg off this pattern and C to D leg is retraced between 1.27 upto 1.618 Fibonacci level. Even though we can see that the price action has hit beyond the potential reversal zone of this pattern but in very next candle the priceline is pulled back and has hit the 0.382 to 0.786 of A to D leg. But we can expect that soon the priceline will again turn and we will see some green on this weekly chart.
Very bit Butterly on monthly chart:
Now let's move to the more bigger time period chart and that is one month chart. On this long term chart price action of has formed another . The first leg of this was started on November 2018 and completed on June 2019. Then we can see that the price action has been retraced between 0.618 0.786 Fibonacci level and from November 2019 to Feb 2020 the price action moved up between 0.382 to0.886 Fib projection of A to B leg. Then again the price action dropped between 1.27 upto 1.618 level and here we have a complete .
A chain reaction to achieve highest price:
Now we have a series of . The first one is on 2 day time period. The second one is on weekly time period. And third one is on monthly time period chart. The short time period 2 days pattern can provide the push to the pattern that is formed on weekly chart and the weekly chart parent can provide the strong push to the pattern that has been formed on monthly chart. This move of Cardano will be like a chain reaction. And this chain reaction can produce a very powerful even we can see that the can achieve the highest price ever in the history of Cardano.