- Cardano price breaks above bearish pennant, invalidating a critical bearish continuation pattern.
- Continued momentum is necessary to push Cardano out of the Cloud.
- The march towards the $6 value area could begin very soon.
Cardano price continues to show strength and resilience inside the Cloud. As a result, some immediate warning signs about a bearish continuation move might be invalidated soon if Cardano can breakout above the Cloud.
Cardano price nears new bullish expansion phase, will target new all-time highs near the $6 value area
Cardano price has been highly consistent over the four daily trading sessions. It had been trading inside a bearish continuation pattern known as a bearish pennant but failed to break down below that pattern. Instead, price broke above and closed above the pennant on Thursday. More importantly, the Thursday close positioned the Friday open above the 38.2% Fibonacci retracement and the daily Kijun-Sen.
Cardanos price needs to display a final trigger: a close above the Cloud and the Chikou Span closing above the Candlesticks. Both conditions will be complete if bulls can rally Cardano to a close at the $2.60 level. From $2.60, the following projected swing range in Elliot Wave is the 100% Fibonacci expansion at $5.80.
ADA/USDT Daily Ichimoku Chart
To invalidate the bullish outlook, bears will need to confirm the strength of the hidden bearish divergence between the Composite Index and the Cardano price chart. The Kijun-Sen and 38.2% Fibonacci retracement remain daily resistance levels, so any close below them could trigger some intense selling pressure. Weekends are notorious for volatility and whipsaws, so if bears were going to cause some havoc, Cardano is perfectly positioned to do so.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
XRP eyes $0.6640 as Ripple CEO tips Trump to fire Gensler on first day in office
Ripple's XRP is up over 5% on Wednesday and could extend its rally to $0.6640 as the Securities & Exchange Commission may not file its appeal brief against the company due to Donald Trump's presidential election victory.
What's next for Bitcoin and Crypto industry following Trump's victory in US Presidential election
The 2024 US presidential election ended with pro-crypto advocates leading the House of Representatives, the Senate, and Donald Trump as the president-elect. The results stirred massive celebration across the crypto industry, with Bitcoin and the crypto market rallying following Trump's win.
Crypto Today: All Bitcoin holders in profit, TRON partners with Chainlink, DOGE miners in $145M buying spree
Bitcoin price reached a new all-time high of $75,120 on November 6 as markets reacted to Donald Trump’s victory in the 2024 US presidential election. The global cryptocurrency sector valuation grew by $190 billion within the daily time frame as bullish momentum spilled over into the altcoin market.
Coinbase’s Paul Grewal urges SEC to embrace change on crypto after Trump's victory
Paul Grewal, Coinbase's Chief Legal Officer, has asked the US Securities & Exchange Commission to reconsider how it regulates cryptocurrencies now that Donald Trump has been elected to a second term as president.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.