Investing.com – Despite massive price premiums recently (+64 percent since the beginning of August), the cryptocurrency has remained stable at a high level. Crypto investors even used the latest setback to the 5-day line at $ 2.09 to buy, so that trading in the world’s fourth largest crypto currency by market capitalization continues to take place above all trend-relevant smoothing lines, even though the momentum has been in the last few hours has cooled down somewhat, which is also reflected in the RSI indicator, which has recently withdrawn a little after reaching new highs of 89 / 89.50 points and currently stands at 86 points. With such a high level of the momentum indicator, Cardano remains susceptible to a downward correction in the short term – interested investors who want to quickly buy into the market under the motto “FOMO” should always be aware of this.
And the current consolidation in the Cardano course is no accident. The rally stalled at exactly the 78.60% Fibonacci retracement of the entire downward momentum from May to June at $ 2.165.
If the ADA bulls fail to cross this hurdle soon, the risk of a short-term price setback increases. The first contact marks on the bottom define the 5-day line at $ 2.09, the psychologically important level of $ 2.00 and then the 10-day line at $ 1.83. The latter represents a possible test for the will of the cops, but also an opportunity to build up a position.
On the other hand, if Cardano continues its rally unchecked, it is towards the high of $ 2.322 on May 17, which also acts as a transition point for a rally to the record high of $ 2.463 and beyond.
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 merely a subsequent comment on the ADA development, which is intended to inform Cardano investors about the latest crypto news and the technical starting position of the.
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