23 February, 2024



Cardano Sees Massive 5% Recovery

1 year ago

22 Nov, 2023

Cardano (ADA) has been on a rollercoaster ride in 2022, mainly frustrating loyal followers of the #8 market cap asset. Our latest user-submitted insight touches on how whale behavior, realized profits/losses, & social volume will factor into $ADA’s future.

It seems that every time Cardano breaks out of a symmetrical triangle, it immediately falls victim to profit-taking whales. The smart money has been unloading on retail investors for the past few months, cashing in on the FOMO that ADA’s recent price action has generated.

Cardano needs to reclaim the $0.3766 price level to initiate sustainable growth. Once this level is breached, we expect to see a surge in buying pressure that will push ADA toward its all-time highs.

Whales are playing a dangerous game by selling into every rally. At some point, they will run out of steam and retail investors will be left holding the bag. We recommend staying patient and accumulating ADA on dips. The smart money will eventually capitulate and this is when Cardano will take off to new all-time highs.

What does technical indicators suggest about ADA?

The MACD is currently showing bullish momentum,  with the 12-day EMA (blue line) crossing above the 26-day EMA (red line). This indicates that ADA is in an uptrend. The RSI is currently at 58, which suggests that ADA is neither overbought nor oversold. This means that there is room for ADA to move higher before it becomes overbought.

Source: Tradingview

The CCI is currently at 97, which suggests that ADA is close to becoming overbought. This means that ADA could see a pullback soon. ADA is currently trading above its 20-day moving average of $0.39, which is a positive sign. ADA is also trading above its 50-day moving average of $0.38, which is another positive sign.

Overall, the technical indicators are suggesting that ADA is in an uptrend and that there is room for it to move higher. We recommend accumulating ADA on dips.

Cardano has been one of the best-performing assets in the past week, with a 5% recovery. The asset is currently trading at $0.3646, which is just below the key resistance level of $0.4086. Once this level is breached, we expect Cardano to surge higher and test all-time highs.

Conclusion

Cardano is a project that has been frustrating its followers in recent months. However, the technical indicators are suggesting that ADA is in an uptrend and that there is room for it to move higher.

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