Yello, Paradisers! Is this breakout on #Cardano the start of a major upside move or just another bull trap waiting to flush out impatient traders? Let’s break down the latest #ADAUSDT setup:
💎After weeks inside a falling broadening wedge, #ADA finally broke above the descending resistance, signaling a potential trend reversal. The breakout above $0.70 has pushed the price toward the current $0.74 zone. The soaring volume and a positive broader market outlook reinforce our bullish bias. While this looks bullish, the key question is whether #ADAUSD will hold above its reclaimed support or retest lower levels first.
💎The structure is straightforward: #ADA reclaimed the support zone around $0.70 after bouncing strongly from the demand zone near $0.61–$0.60. This demand zone remains the critical area to watch—any healthy retest here would provide a high-probability continuation setup for bulls.
💎If buyers maintain control, the first target sits at the moderate resistance of $0.86. That’s where the next notable selling pressure is expected. But the real battle will take place near the strong resistance at $1.08—a zone where major distribution and profit-taking could occur.
💎However, the bullish setup becomes invalid if #ADAUSD loses the $0.61–$0.60 demand zone. A confirmed close below $0.538 would flip the structure bearish, signaling a potential continuation to lower lows.
Stay patient, Paradisers. Let the breakout confirm, and only then do we strike with conviction.