ADA (Cardano) Technical Analysis – Consolidation Continues in a Large Triangle Pattern
Cardano (ADA) continues to move within a broad consolidation range between $1.18 (key resistance) and $0.51 (major support), as part of a possible wave 4 triangle pattern. The asset currently trades in the middle of this range, making the daily chart less favorable for trading, but lower timeframes present some actionable insights.
Key Pattern:
The broader structure appears to be an A-B-C-D-E triangle, with ADA potentially still forming wave D (upside). This internal D wave is tracked as a W-X-Y correction on the micro time frame.
Key Levels:
Immediate Support Zone (Fibonacci): $0.686 – $0.772
Invalidation Point: $0.646 – if broken, wave D is likely invalid, and wave E could be in play.
Critical Structural Support: $0.51 – price must not break below this to keep triangle structure valid.
Initial Resistance Zone: $0.797 – $0.85
Upside Target if Resistance Breaks: $0.94 and eventually up to $1.18+
Trade Setup (Short-Term):
Entry: $0.70 – $0.74 (within the Fibonacci support range)
Stop Loss: $0.64 (below the invalidation level)
Targets:
Target 1: $0.85 (local resistance)
Target 2: $0.94 (top of channel / completion of Y-wave)
Target 3: $1.18 (major breakout level)
If ADA breaks below $0.64, reevaluate bias as the triangle structure may be invalidated, and deeper downside toward $0.51 could unfold.
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