Welcome everybody on Wednesday! Today, as always, I have for You three analysis from the crypto world. The first one will be about the Cardano. For the last time, we analysed this instrument on the 9th of May and we were bearish, saying that:
„Then, the price broke the horizontal support on the 0.318 (blue), which gained importance at the end of April. Breakout of those two supports give us a very clear, technical, sell signal.
As for now, we are seeing a small reversal. The broken support is being tested as a resistance. From the technical point of view, that is a good occasion to sell and as long as the price is below the 0.318 USD, that is the current trading signal.”
Few hours after those words were written, ADA dropped like a rock. That was a great analysis that had everything: estimation of exact levels and proper timing. The price declined sharply and is now currently around the 0.21 USD. Overnight, before the European session kicked in, Cardano broke another two important supports. First one was the horizontal one on the 0.23 (red) and the second one was dynamic, marked with a green colour.
The potential target for this drop is the blue line connecting recent higher lows and chances that we will get there soon are pretty high.