Cardano’s ADA, the native cryptocurrency of the Cardano blockchain, has exhibited signs of both strength and weakness in recent trading sessions. While the one-hour chart shows a potential upside run, the daily and weekly charts suggest a bearish structure.
One-Hour Chart Analysis: A Potential Upside Run
On the one-hour chart, ADA has experienced a pullback before a potential upside run. Despite the recent market correction, JB believes the upward trend is not over, targeting 39.75 to 41.62 cents in the short term.
Daily Chart Analysis: A Double Top Scenario
The daily chart indicates a break of the b-wave high, suggesting a retracement of the entire move to the downside. JB identifies a potential b-wave correction with a double top scenario, further indicating a bearish structure.
Caution Advised: Lower Lows Ahead?
Caution is advised, as a failure to breach the 46.17 cent level could lead to lower lows for Cardano’s ADA. This potential bearish movement could be exacerbated by a lack of volume behind recent price increases.
Weekly Chart Analysis: A Fight for Dominance
The weekly chart analysis shows a typical retracement area, with a potential fight between bulls and bears over the 50 EMA. JB maintains a bearish sentiment due to concerns about the lack of volume behind recent upside moves.
Conclusion: A Cautious Outlook
Overall, the outlook for Cardano’s ADA remains cautious. Traders should closely monitor price movements and exercise risk management strategies. Bitcoin’s performance is likely to have a significant impact on the price action of altcoins, including ADA.