Update: ADA USDT Retracing to 1.00 before heading to ATH

ADA/USD has been indifferent the last couple of days with sideways action in a narrow band. Prices have stepped down a bit but 1.20 has shown consistent support. That may be finally changing.

• ADA/USD is in a descending triangle with an apex in the next day. This typically results in a break downwards
  
• We are seeing lower highs and more candles at or even just below 1.20 showing increased weakness of support
  
• 12H RSI is descending near level 50. There is very little upward momentum left
  

March typically is a month of corrections, and ADA does not seem immune to further correction. 2D indicators are still high, but this does not prevent further correction. It may limit the downside of a breakout below 1.20 and/or limit the duration of further downturn.

Breakout levels below 1.20:
- 1.15 (recent MA)
- 1.11 fib
- 1.0 strong psychological support

If 1.0 does not hold, then 0.89 or 0.83 could be next. A drop as low as 0.75 is still possible, but not looking likely at this point.

Looking further out, ADA/USD looks poised to make a run for $2.00 next month. Accumulating more ADA during further correction may pay off well.

As always, validate with your own analysis before opening/closing a position, and manage your risk.

Good luck!

Comment:

Finally we are seeing a breakout to the downside as expected. We are seeing a bit of support at 1.15, but this is not likely to hold for long. The next level of potential is around 1.11, but again does not look like it will hold.

The next 24 hours should start to indicate whether this correction stops around 1.00 before heading back up (hopefully to AtH's) or will break and continue down more. This may be influenced by the risk of BTC/USD making a correction, which is possible in the next week.