Cardano (ADA) analysis carried out on a 1 hour timeframe currently shows price action inside of a descending triangle.
The bearish (ideally) chart pattern does indicate further downside for Cardano. However, even more interesting is non-confirmation of the implication of a chart pattern as it can lead to powerful price swings.
In this case of Cardano as captured in this analysis between August 19, 2018 till present date, price action inside of the triangle has found support twice at ~0.00001416 price level, instead of the horizontal line (~0.00001375) that marks the bottom of the chart pattern.
This implies watching for an upward price swing (bullish or long) in Cardano. The Relative strength index (RSI) does support this notion and therefore increases the chances of a bullish bias. Price moving above the breakout (~0.00001508) is considered a conservative point of entry into a long (buy) position, while earlier entries into a long position would seek to initiate a trade immediately.
Price closing below 0.00001375 implies more downside (sell) movement in price.
The bearish (ideally) chart pattern does indicate further downside for Cardano. However, even more interesting is non-confirmation of the implication of a chart pattern as it can lead to powerful price swings.
In this case of Cardano as captured in this analysis between August 19, 2018 till present date, price action inside of the triangle has found support twice at ~0.00001416 price level, instead of the horizontal line (~0.00001375) that marks the bottom of the chart pattern.
This implies watching for an upward price swing (bullish or long) in Cardano. The Relative strength index (RSI) does support this notion and therefore increases the chances of a bullish bias. Price moving above the breakout (~0.00001508) is considered a conservative point of entry into a long (buy) position, while earlier entries into a long position would seek to initiate a trade immediately.
Price closing below 0.00001375 implies more downside (sell) movement in price.
