Analyst offers insight on Cardano’s shift towards a bearish market trend
According to an analysis by the Austin Hilton YouTube channel, which specializes in cryptocurrency price analysis and predictions, Cardano’s (ADA) token is expected to experience a bearish phase in the near future. The analysis primarily focuses on the Elliott Wave analysis, a technical analysis method used to predict future price movements by identifying repetitive wave patterns in market trends.
The analyst suggests that Cardano is currently in the process of unfolding wave C, which is part of a larger corrective pattern following an incomplete wave B top. The analyst also points out that Cardano’s price is closely following the overall weakness in the crypto market, similar to Bitcoin’s bearish scenario.
While not yet fully confirmed, the analyst believes that ADA’s local top has already been reached. However, for the start of wave C to be solidified, a break below the $0.54 level is still required. The analyst identifies the initial support at around $0.507, which aligns with the 23.6% Fibonacci retracement level of the recent advance. Furthermore, the analyst highlights the next area of expected support at the 38.2% level of $0.438.
Looking into the future, the analyst envisions a prolonged and complex fourth wave that could last for several weeks. This wave could potentially develop into a triangle consolidation or another complex pattern before a fifth wave rally resumes. However, the analyst warns that in order for long-term upside hopes to remain intact, the $0.345 level must hold.
For more cryptocurrency news and updates, follow us on Google News.
