ADA/USD Long-term Trend –Ranging

Supply zone: $0.0600, $0.0800, $0.1000
Demand zone: $0.0100, $0.0080, $0.0060

ADA remains in a range-bound market in its long-term outlook. The strong bearish pressure continued within the range despite the push to $0.04143 in the supply area by the bulls on 31st January. ADAUSD dropped to $0.03736 a break in the lower demand area but closed above the area.

Cardano, ADAUSD, Cryptocompare chartADA chart by tradingview

The rejection at the 10-EMA against further upward price movement after the bulls pushed the cryptocurrency to $0.04012 on 3rd February and subsequent dropped in price to $0.03791 was an indication of bear dominance as confirmed by the stochastic oscillator in the oversold with it signal pointing down at 12%.

ADAUSD is consolidation and trading between $0.05200 in the upper supply area and at $0.03800 in the lower demand area of the range. A breakout at the upper supply area may be considered for a long position after a retest while a breakdown at the lower demand area may be a short position with good candle pattern as confirmation for entries. Hence patience is needed to allow this occurred before taking any back position.


The views and opinions expressed here do not reflect that of and do not constitute financial advice. Always do your own research.