ADA: Wait For The Breakout.

21 apr 2021

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ADAUSD Statistics:

• Market Capitalization: 39B
• CryptoAsset Rank: #7
  
• 24-Hour Return: +1%
  
• 7-Day Return: -13%
  
• From All-Time High: -21%
  

Recent News:

• Last week, Cardano founder Charles Hoskinson shared the roadmap for Cardano's development until 2025; Hoskinson went on to say that the Cardano ecosystem would operate as a self-sufficient ecosystem up its final Voltaire update.
  

Potential Catalyst:

• This summer, ADA will roll out its highly anticipated Alonzo upgrade. The update will, among all else, enable users to deploy smart contracts using Cardano's decentralized infrastructure and developer tools.
  

Technical Setup:

• A failed breakout for ADA looks to have transformed what was a symmetrical triangle pattern into an ascending triangle pattern - or what is widely regarded as a bullish continuation pattern.
  
• With ADA consolidating around current levels and its 14D RSI having mean reverted lower to local support, the case could be made that ADA is positioning itself for its next leg higher.
  
• A lack of historical price action shows us that it's not exactly clear where support may reside should ADA break to the downside. But we do know that $1 is a psychologically significant level of support that ADA has previously backtested with success.
  
• For now, all eyes are on the triangle's resistance at approximately $1.47.