Conclusion for today’s Cardano technical analysis:
Price successfully testing ~0.045479 provides opportunity for bullish strength in Cardano (ADA).
A Daily time frame (log scale) candlestick chart is used in today’s Cardano analysis. Over 9 months of price action is presented which includes price swing downwards that reached a climax on December 07, 2018.
Resumption of bullish strength from a price low of ~0.026675 has been followed by over 5 months of sideways price action. A broadening formation is highlighted on the chart to best capture the side trending price action. The chart pattern ideally occurs in a continuation position and suggests that the trend prior should resume once the pattern is complete (i.e. breakout).
Moreover, the bullish trendline in Cardano that is currently active since December 2018 is marked on the chart and was successfully tested again on July 16 and 17. Last but not the least is a symmetrical triangle chart pattern that is used to put into perspective price action from July 16, 2019 to date.
The symmetrical triangle indicates a stalemate between bullish and bearish strength. Green arrow provided on the chart is used to indicate the trajectory anticipated for resolution outside the triangle.
A break below the 5 months old trendline implies a bearish bias. However, the lower boundary or extreme of the broadening formation that lies below the bullish trendline should be monitored for support.
Price consolidating at support for the formation (~0.045479) could potentially serve as catalyst for bullish momentum and the upper boundary of the formation providing a minimum target.
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