Near term ADA to test resistance along the way to 1.50
Updated
Yesterday I predicted a fall to 1.06 with a medium term rise to 1.53.
We saw a selloff across most currency pairs yesterday (driven primarily by activity in BTC and altcoin panic sell-offs). Even yet, we reached a local min of just over $1. This indicates to me that investors remain bullish on ADA near-mid term.
On the fundamentals side:
ADA is still relatively nascent compared to established projects like Ethereum, but is holding its own relative to other similar projects (e.g. DOT). Current gas prices on Ethereum have created major barriers to the utility of Ethereum near-term, which creates a major problem to be solved. Mary brings functionality to Cardano that provides a viable alternative to Ethereum on which a thriving ecosystem may have the opportunity to grow.
I am also long on ETH, and while ADA started as a hedge against ETH, I actually see room for both to succeed long-term. Best case in my mind is that Cardano relieves some of the immediate pressure on Ethereum as some super nascent projects jump ship to Cardano. This would be good news for ADA and ETH alike, but it's a bit soon to say (and I dont have nearly the depth of technical understanding for Cardano as I do for Ethereum, so grains of salt all over this).
Technicals...
ADA is currently trading in a nice channel that if continued will take us to a test at around 1.20. Provided we break through that resistance, I think we remain on track for a climb to 1.50.
Note
Not financial advice. I welcome feedback and criticism of my ideas; that's why I post them. That said, I remain long on ADA and will be watching the 1.20 level closely today.
We saw a selloff across most currency pairs yesterday (driven primarily by activity in BTC and altcoin panic sell-offs). Even yet, we reached a local min of just over $1. This indicates to me that investors remain bullish on ADA near-mid term.
On the fundamentals side:
ADA is still relatively nascent compared to established projects like Ethereum, but is holding its own relative to other similar projects (e.g. DOT). Current gas prices on Ethereum have created major barriers to the utility of Ethereum near-term, which creates a major problem to be solved. Mary brings functionality to Cardano that provides a viable alternative to Ethereum on which a thriving ecosystem may have the opportunity to grow.
I am also long on ETH, and while ADA started as a hedge against ETH, I actually see room for both to succeed long-term. Best case in my mind is that Cardano relieves some of the immediate pressure on Ethereum as some super nascent projects jump ship to Cardano. This would be good news for ADA and ETH alike, but it's a bit soon to say (and I dont have nearly the depth of technical understanding for Cardano as I do for Ethereum, so grains of salt all over this).
Technicals...
ADA is currently trading in a nice channel that if continued will take us to a test at around 1.20. Provided we break through that resistance, I think we remain on track for a climb to 1.50.
Note
Not financial advice. I welcome feedback and criticism of my ideas; that's why I post them. That said, I remain long on ADA and will be watching the 1.20 level closely today.
Note
For those who were watching for the resistance at 1.20, you will have seen that we failed to break through that. Not at all surprising to me. A lot of people taking profits from a nice long run. Ill post more on this later, but have a look at the 15+ minute charts. You'll see we are still trading up the same channel we have been for a while now. Anyway, Keep watching that 1.20 resistance level for the next test.
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