Investing.com – We ran the headline in early July for and its native cryptocurrency. Before that, we had identified the cyber currency, launched in 2015 by Charles Hoskinson and Jeremy Wood, as a possible crypto winner early on (see below). Since then, Cardano has grown by more than 420 percent and is currently heading for its record high from mid-May (US $ 2.46).
, which includes the implementation of key functions such as smart contracts, which should give the token further tailwind in the long term. Nonetheless, the risk of a pullback is increasing due to the oversized upward momentum observed last, although the upward trend is absolutely intact and has recently even gained momentum again with increasing volume. The downside of the coin, however, is an RSI, which has advanced deep into overbought territory with a value of 88 on a daily basis.
Currently, Cardano is struggling with the 78.6% Fibonacci retracement of the entire downside momentum from May to June at $ 2.165. If the cryptocurrency spurts this hurdle, there would be further upside potential towards the high of May 17 at $ 2.322, which also acts as a transition point for a rally to the record high of $ 2.463 and beyond.
The first important and viable support at these lofty heights is in the form of the previous breakout level and the smoothing of the last 5 days at 1.915 / 1.920 dollars. Should Cardano fail to find new buyers in this area, it threatens a lower correction to the 10-day line at $ 1.675. In view of the high trend dynamics, however, it should be noted that trends often run much longer than investors initially imagine.
A notice: This article does not constitute investment advice or a solicitation to buy or sell any asset. Nor does it purport to predict the development of the Cardano price. It is only a subsequent comment on ADA developments, which is intended to inform Cardano investors about the latest crypto news and the technical starting position of the ADA / USD.
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