✴️ Cardano | Correction Update

This is a quick and simple one. A tiny bit of information that might be useful to your chart analysis... Maybe for correlation, comparison or to open up to new perspectives, views, possibilities and ideas, we are talking about a chart.

Here we have Cardano on the weekly timeframe, five weeks going down.

➖ The five weeks going down can tell us that a bearish move happened and a reversal is about to take place. It can also tell us that a bearish move is developing and in the making.

➖ The fact that the same low has been working as support, around 0.5800, for five weeks and is now breaking gives us a bearish signal.

How far down can a correction go?

Will there be a correction?

So far we have five weeks red and a total decline of thirty percent from recent peak prices. This might as well just be it, the correction.

I looked at around 150 charts, many more; not now but a month or so ago. I measured the size of the correction for all the Altcoins that already grew 2-3X beyond 100%.

All these Altcoins without exception that ended their correction moved to test a price range between 0.618 and 0.786 Fib. retracement for the entire move since the 2023 low (2022 in some cases but that is beyond the point).

It is the same method we used to project targets for the bullish wave but in reverse. It is not exact and can't be but it gives us a map that we can use to navigate and update when new data comes in.

Ok, for Cardano, ADAUSDT; this support range would be between 0.4444 and 0.3450.

Now, can it continue growing or move higher before going lower?

Yes! Absolutely but, Cardano has been lagging behind so it is possible to assume that it will continue do so rather than to think it will catch up.

We can always diversify and have many and varied choices but some move fasters and others move higher while in some cycles others will stall.

The weekly chart right now is producing a break below EMA10 with a very strong bearish candle as the RSI turns red.

We can speculate but the only wise decision is to remain bearish until the chart and market conditions change.

Once support is found and established, we become bullish again.

Namaste.

Comment:

The breakdown is now confirmed.

Based on current price action, Cardano is now set to hit our target (marked yellow on the chart).

Prepare for the drop.

Trade closed: target reached:

It will continue lower, produce an inverted cup pattern and then recover.
This can turn into a process that lasts several months. I will share a new trade idea when the time is right to buy for LONG.

Good luck.

Namaste.