Cardano (ADA) - 12h. The last downward impulse?

23 jun 2021

An unsuccessful attempt to fix the ADA price above the range $1.4-1.5 provoked a new wave of decline and returned market participants to consolidation. During 2021, the $0.9-1 range has saved the ADA market from total destruction for the fourth time. The importance of this range can also be seen in terms of trading volumes on June 22:

As you can see on the daily timeframe, since May 16, sellers have been confidently holding the black trend line and do not allow buyers to counter-attack. After May 23 trading volumes fell. It happened in the important range $1.4-1.5 which was considered the upper border of consolidation for 3 months. Buyers' passivity in the $1.4-1.5 range was so high that the ADAUSDT price continued to fall and consolidated below this price zone on extremely low volumes. On June 22, in the $0.9-1 range, we saw the interest of market participants and the likelihood of fighting for a new wave of growth.
we can risk buying this coin with a short stop. However, the price fixing below this range or consolidation on low volumes with the same character as it was in the range of $1.4-1.5 in the period from 8 to 18 June will be a signal for a continuation of the fall with the first target of $0.7.

Looking at the smaller timeframe, we can safely assume that buyers are preparing to test the range of $1.4-1.5 within the framework of real local growth. Given the importance of this range, we expect a rebound in the price and another attempt by sellers to take control of the market. It is from this attempt that the next medium-term price movement will be clear.


A positive fact for buyers can be seen on the chart ADABTC:

As you can see, the correction after the growth wave from May 5 takes place in consolidation and at low volumes. The worst-case scenario for the ADABTC market at the moment is test of the 0.000031-0.000032 range. This range stopped the price growth for almost 3 months.

Therefore, our subjective vision is a new local growth wave with a stop in the range of $1.4-1.5.