To Be or Not To Be For ADA
Hello happy traders.
As I'm sure many of you know, ADA broke into .00001403 range lately. Actually it is trading at 0.0001400 BTC as I am writing this analyses. Causing the crypto to reach multi-month support zone of 0.00001400 BTC from ATH
Looking at daily chart, there are several key things to point out. First, I would like to draw your attention to the rising white trend line. This trend line originates on December 8th of 2017( at the beginning of the rally to the all time high) and it ties in with a low produced on June 29th 2018. That trend line, in my opinion, was very important level to hold, because it represented the lowest rising pre all-time high support level. As you can see , when ADA got down to it , It tested that level on June 29 2018. Then , It failed to hold by July 23 2018 and just plummeted to the 0.00001400 BTC. range. So, that was a sign off undeniable technical weakness, which showed that the bulls were basically nonexistent, at a very critical support level.
Looking at the chart overall, you can see that there are two major support and resistance zone. Currently, ADA is stabilizing at the top of the support zone, but it's struggling to get above the 21 EMA(in blue) since July 20th 2018, with that said, I do think there is a decent probability of a bounce here , because ABC corrected waves are finished on top of the support zone. Especially if it is above the 21 EMA which could potentially take ADA up to the 0.00004455 BTC level (yellow 127.20% Fib. line) ADA has been badly beaten lately, and it is showing sustained support on the top of a huge support zone.
If you look at the falling wedge (in red dashes) you can see that ADA price is finishing of wave(( e)) of C , we've just been trading on top of support zone. So, that tells me that ADA need to get on top of the 21 EMA and trade above the white trend line before It can gear up for a rally there. My gut tells me that it can because we are in the 4th quarter and the 4th quarter is usually bullish. With that said, we can't lose sight of the fact that this a undeniably strong bear market . So, I would rather remain a seller of rallies than a buyer of dips, Until I see some major changes. Particularly, I'm interested to see what happens with the falling wedge. Falling wedges are bullish reversal patterns, and this is a huge falling wedge on this chart. When you couple that with the fundamental: Bitmex Downtime, ETF Denial ect… there is a combination of fundamental and technical reason to think that a powerful continuation of the bear market . But that will all depend on how price responds to the falling wedges and recent Breaking news: The US. Securities and Exchange Commission says It will "review" Wednesday's rejection orders for 9 bitcoin ETFs. Pending the outcome of the review, the three August 22 orders have been stayed. Story to come... I can tell you without a doubt, if ADA falls bellow the falling wedge and bellow the ATH support zone, you can kiss this market goodbye. Right now, it's to be or not to be for ADA.
***This information is not intend or imply to recommend to buy or sell. It is to be used for educational in conjunction of entertaining purposes only.***
As I'm sure many of you know, ADA broke into .00001403 range lately. Actually it is trading at 0.0001400 BTC as I am writing this analyses. Causing the crypto to reach multi-month support zone of 0.00001400 BTC from ATH
Looking at daily chart, there are several key things to point out. First, I would like to draw your attention to the rising white trend line. This trend line originates on December 8th of 2017( at the beginning of the rally to the all time high) and it ties in with a low produced on June 29th 2018. That trend line, in my opinion, was very important level to hold, because it represented the lowest rising pre all-time high support level. As you can see , when ADA got down to it , It tested that level on June 29 2018. Then , It failed to hold by July 23 2018 and just plummeted to the 0.00001400 BTC. range. So, that was a sign off undeniable technical weakness, which showed that the bulls were basically nonexistent, at a very critical support level.
Looking at the chart overall, you can see that there are two major support and resistance zone. Currently, ADA is stabilizing at the top of the support zone, but it's struggling to get above the 21 EMA(in blue) since July 20th 2018, with that said, I do think there is a decent probability of a bounce here , because ABC corrected waves are finished on top of the support zone. Especially if it is above the 21 EMA which could potentially take ADA up to the 0.00004455 BTC level (yellow 127.20% Fib. line) ADA has been badly beaten lately, and it is showing sustained support on the top of a huge support zone.
If you look at the falling wedge (in red dashes) you can see that ADA price is finishing of wave(( e)) of C , we've just been trading on top of support zone. So, that tells me that ADA need to get on top of the 21 EMA and trade above the white trend line before It can gear up for a rally there. My gut tells me that it can because we are in the 4th quarter and the 4th quarter is usually bullish. With that said, we can't lose sight of the fact that this a undeniably strong bear market . So, I would rather remain a seller of rallies than a buyer of dips, Until I see some major changes. Particularly, I'm interested to see what happens with the falling wedge. Falling wedges are bullish reversal patterns, and this is a huge falling wedge on this chart. When you couple that with the fundamental: Bitmex Downtime, ETF Denial ect… there is a combination of fundamental and technical reason to think that a powerful continuation of the bear market . But that will all depend on how price responds to the falling wedges and recent Breaking news: The US. Securities and Exchange Commission says It will "review" Wednesday's rejection orders for 9 bitcoin ETFs. Pending the outcome of the review, the three August 22 orders have been stayed. Story to come... I can tell you without a doubt, if ADA falls bellow the falling wedge and bellow the ATH support zone, you can kiss this market goodbye. Right now, it's to be or not to be for ADA.
***This information is not intend or imply to recommend to buy or sell. It is to be used for educational in conjunction of entertaining purposes only.***
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