ADA ran up to match the ATH at 1.48, but did not have enough energy for a real retest and quickly broke down. Now we are seeing a strong retracement. Where will we bottom out?
We see now that it not only brown down from the ascending triangle of the impulse run up, but also the ascending trendline.
A 25% correction would put us around 1.11, but this is not a strong level of support.
Next stop would be a 30% correction just above 1.00. There is strong support at 1.00. Around this could be a bottom, with the possibility to wick down to 0.90 (40% correction).
If the 1.00 range does not hold, then the 0.75 range seems the next stop (50% correction). This looks unlikely at this point, but we cannot rule out a bigger/broader correction as we get into March and the crypto market continues to retrace.
Following this correction, we stand a good chance of driving back up to the ATH and up towards $2, if not in March, then in April.
For now, look for short opportunities on the way down until we find a bottom, then go long and accumulate what you can.
As always, limit/manage your risk and do you own analysis before opening/closing positions. Good luck!
We see now that it not only brown down from the ascending triangle of the impulse run up, but also the ascending trendline.
A 25% correction would put us around 1.11, but this is not a strong level of support.
Next stop would be a 30% correction just above 1.00. There is strong support at 1.00. Around this could be a bottom, with the possibility to wick down to 0.90 (40% correction).
If the 1.00 range does not hold, then the 0.75 range seems the next stop (50% correction). This looks unlikely at this point, but we cannot rule out a bigger/broader correction as we get into March and the crypto market continues to retrace.
Following this correction, we stand a good chance of driving back up to the ATH and up towards $2, if not in March, then in April.
For now, look for short opportunities on the way down until we find a bottom, then go long and accumulate what you can.
As always, limit/manage your risk and do you own analysis before opening/closing positions. Good luck!
Comment:
Just an update that volatility (up/down) is to be expected - a good opportunity for scalping. Meanwhile it may take a day or two for us to find the bottom. Patience is key :)
Comment:
ADA has been quite resilient with the area around 1.20 providing support, and leading to sideways movement in a narrow range between 1.23 and 1.33 that has been good for scalping but not playing out as big of a dip.
We must wait two hours for many timeframes to close to get a sense of where this week will take us. In the meantime, it looks like the sideways action will continue with a bias towards the upside for now
We must wait two hours for many timeframes to close to get a sense of where this week will take us. In the meantime, it looks like the sideways action will continue with a bias towards the upside for now
Comment:
Update posted:
