Cardano Starting a New Breakout?
Hi, and welcome to Tuesday’s update, the focus of today Cardano.
It’s been a little while since we have looked at ADA, and today’s view, for now, looks to be from the sell side, as sellers do look to be testing/breaking the base of a descending triangle pattern.
This week things haven’t been so good for the crypto top 10. After a flat weekend, we’ve seen two weaker days. While markets haven’t really moved much yet (still seeing a lot of rangebound trade), we are seeing price hit range bases, and in Cardano’s case, we have seen a minor breakout.
Take a look at today’s daily chart; you will see the minor breakout highlighted with the orange box. This is what we are going to be focusing on for the rest of the week traders. Price has pulled back after setting new yearly lows today. We think a close below that point confirms a pattern breakout and could signal a resumption of the long-term downtrend.
It’s not that simple. Crypto all year has been suffering due to higher global inflation and higher interest rates boosting the USD. This week we have a raft of data coming out and the Fed minutes. It’s simple for me, Data and minutes maintain a hard hawk stance at the fed, USD is up with risk, and crypto continues to trade lower. But if we see some misses in this week’s CPI and softening tone in the minutes, this could boost risk markets like we saw a week ago.
The fed minutes will be released at 5:00 am AEDT Thursday morning, and US CPI, including year on year, will be released at 11:30 pm AEDT Thursday evening.
Cardano Daily Chart 
We like to hear from you, so please feel free to drop us a comment. We also run weekly webinars with guest analysts.
Please subscribe to our Youtube channel (https://www.youtube.com/channel/UCa77H1ycVUAG_M3aToCPk8w)
And to our newsletter to stay up to date.
https://www.eightcap.com/en/market-analysis/
* The information provided on this page are the opinions of the author and do not necessarily reflect the opinions of Eightcap and are not endorsed by Eightcap.
Any person acting on the information presented on this page does so entirely at their own risk. No representation or warranty is given as to the accuracy or completeness of this information. Any research provided does not have regard to any specific investment objectives, financial situation and needs of any specific person who may receive it.
Margin trading involves a high level of risk and may not be suitable for all investors. You should carefully consider your objectives, financial situation, needs and level of experience before entering into any margined transactions with Eightcap, and seek independent advice if necessary.