Potential Wyckoff accumulation playing out on ADA USD - anyone care to (in)validate my hopium here?
Comment:
Looks like the pattern is more of a wedge/bear flag in the short term, however it does follow a sort of fractal pattern for another leg up on the longer term time frame. The Wyckoff accumulation hypothesis could still be valid - seen a couple of 'spring' dips below the support line of the selling climax, but no close below it yet, so potentially could begin a leg up soon, provided BTC behaves itself. I don't see any reason why ADA can't at the very least revisit it's ATH, and should push to the $5 mark within the coming months. Not financial advice, of course...
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Another point to note is that the daily RSI nearly touched 30 and we're outside the lower bollinger band. Volume is relatively low compared to previous sell offs on the weekly chart. Perhaps supply pressure is being exhausted.
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Looks like this was invalidated :( The pattern forming now looks more like a descending wedge. A break above $2.00 is needed to escape the pattern, which should confirm a reversal of the downtrend.