Cardano- Critical Support Level Approaching
Updated
Cardano now fighting to remain in channel.
I think there will be more pain before any potential reversal but the next few days should give us the indication we need to see it more clearly.
While it's managed to hold within the channel (for the most part) the biggest test will happen over the next few days as the retrace meets the bottom of the channel, coupled with the descending trend line.
(A break north may indicate a reversal but I'd be more inclined to look for a confirmed retest as opposed to buying an initial bounce)
My thoughts are that BTC has already fallen through it's major support line and as it moves to test 28 - 24K it will drag ADA to retest the 0.95-1.05USDT mark at best.
Loss of Support would potentially indicate a confirmation for the Bears so even at 1.00USD I'd want to see some form of confirmation of reversal prior to taking a position.
While probably not a popular call for the ADA Bulls I think structuring in a Stop Limit Order at 0.40 USD in case of a crash would make sense.
Whilst I still believe there will be money to be made in the markets caution is advised as personally I think the "new" money and large amount of people flocking to relatively unknown moonshot projects is an indicator that we should be anticipating a further downturn across the board before any potential major recovery.
As always, not financial advice,
Just my own thoughts and TA.
DYOR and don't get Rekd.
Bingaz
I think there will be more pain before any potential reversal but the next few days should give us the indication we need to see it more clearly.
While it's managed to hold within the channel (for the most part) the biggest test will happen over the next few days as the retrace meets the bottom of the channel, coupled with the descending trend line.
(A break north may indicate a reversal but I'd be more inclined to look for a confirmed retest as opposed to buying an initial bounce)
My thoughts are that BTC has already fallen through it's major support line and as it moves to test 28 - 24K it will drag ADA to retest the 0.95-1.05USDT mark at best.
Loss of Support would potentially indicate a confirmation for the Bears so even at 1.00USD I'd want to see some form of confirmation of reversal prior to taking a position.
While probably not a popular call for the ADA Bulls I think structuring in a Stop Limit Order at 0.40 USD in case of a crash would make sense.
Whilst I still believe there will be money to be made in the markets caution is advised as personally I think the "new" money and large amount of people flocking to relatively unknown moonshot projects is an indicator that we should be anticipating a further downturn across the board before any potential major recovery.
As always, not financial advice,
Just my own thoughts and TA.
DYOR and don't get Rekd.
Bingaz
Comment
Congrats to those that took the short here!Now approaching potential supporting PA.
Consider your own position regarding take profit indicators.
As always, not financial advice.
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