ADA (Short Term) Bleed Out Continues
Updated
Sideways and more consolidation continues as top coins like BTC and ETH continue to steal the show. ADA remains stuck in long accumulation. ADA could see a test down the 200 moving average around the $1.80 level. I remain bullish through Q4 however ADA is desperate for either a catalyst or an increase in demand from upcoming DeFi projects launching. Until then, I see no reason to close out any longs but be cautious when entering new long positions.
I feel that Its important to remind everyone that ADA is up over 1,000% on the year and a 38% draw down after touching all time highs is nothing more than a symptom of a price discovery phase as the market attempts to set a price for the asset. I see its continued sideways trading as an overall bullish sign and no reason to change any Long DCA strategies.
The market will continue to reward patience.
Sit back. Relax, and continue to keep earning those sweet sweet staking rewards.
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I love it when mathematics shows itself so plainly and beautifully here. As you can see, ADA had broken down past the S1 (Support 1) level. That level has flipped into resistance. Extrapolating that data and price movement, a close about that $2.12 level would be a good step in the right direction. **In a macro sense, ADA has been trading in this channel for several months so I personally dont see that sentiment changing until we get a solid close around the $2.33 level….and continue to hold that level for a couple weeks**
Chart patterns that end up like this are really what makes pattern analysis so fascinating.
I personally will continue to add to my position around the 1.98-.2.05 levels. No reason to do anything but buy more at this point.
Stay tuned for more info
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