Thursday, July 25, 2024

Cardano Poised for Potential Surge as Over $1.8 Billion in ADA Accumulates at Current Levels: Trader

Cardano (ADA), a rival to Ethereum (ETH), is presently in a “key demand zone,” according to cryptocurrency researcher Ali Martinez.

Martinez informs his 33,800 social media followers on X that throughout the asset’s $0.37–0.38 trading range, 166,470 wallets acquired 4.88 billion ADA, valued at almost $1.85 billion.

If we stay above this zone, there may be less resistance ahead and strong support below, which could lead to ADA reaching new annual highs. However, be cautious because a loss of this support level can lead to a quick fall to $0.34.

Martinez adds that on ADA’s weekly chart, the Tom DeMark (TD) Sequential indicator displayed a sell signal. Traders use the TD Sequential indicator, which is based on the closing prices of the 13 previous bars or candles, to forecast possible trend reversals.

The analyst explains,

Should the $0.37 level of support fall, there may be a decline in the direction of $0.34 or $0.33. For ADA to move closer to $0.46, it needs to be close to $0.40.

Martinez does however add that the indicator is flashing a short-term bullish signal.

“Observe how the four-hour chart’s 100-EMA (exponential moving average) has served as ADA’s rebound zone while the $0.396 mark serves as strong resistance.

In this time range, the TD Sequential now indicates a buy, pointing to a potential rebound around the 100-EMA. To verify the direction of the ADA trend, you should, however, focus on a four-hour candlestick close that is above the $0.396 resistance or below the 100-EMA.

As of this writing, ADA is trading for $0.381.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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