Breakout ADA week of 1st Feb!
Updated
1. On weekly chart ADA is forming a hammer in downtrend on ADA/USD.
2. The trend line seems to offer enough continued support.
3. ETH is breaking out soon. I'm expecting some altcoins to skyrocket and move the BTC dominance even lower, before BTC recaptures momentum and recaptures dominance.
4. ADA is consolidating as it has to break through a key support level at around 0.40 USD.
Hammer, according to wikipedia.
When you see the hammer form in a downtrend this is a sign of a potential reversal in the market as the long lower wick represents a period of trading where the sellers were initially in control but the buyers were able to reverse that control and drive prices back up to close near the high for the day, thus the short body at the top of the candle.
After seeing this chart pattern form in the market most traders will wait for the next period to open higher than the close of the previous period to confirm that the buyers are actually in control.
2. The trend line seems to offer enough continued support.
3. ETH is breaking out soon. I'm expecting some altcoins to skyrocket and move the BTC dominance even lower, before BTC recaptures momentum and recaptures dominance.
4. ADA is consolidating as it has to break through a key support level at around 0.40 USD.
Hammer, according to wikipedia.
When you see the hammer form in a downtrend this is a sign of a potential reversal in the market as the long lower wick represents a period of trading where the sellers were initially in control but the buyers were able to reverse that control and drive prices back up to close near the high for the day, thus the short body at the top of the candle.
After seeing this chart pattern form in the market most traders will wait for the next period to open higher than the close of the previous period to confirm that the buyers are actually in control.
Note
Well there we are, we're forming a green candle on the weekly. That's a very good start. We tried out the support of the trend line, and bounced on it. We're looking to seriously test the resistance at approximately .40 USD this week. Or next week at latest.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.