U.Today - , the eighth largest cryptocurrency by market capitalization, might be eyeing a potential breakout, according to top crypto trader .
Soloway anticipates a potential breakout on ADA out of a long-term wedge. A wedge is a price pattern defined by converging trend lines on a price chart. He characterizes the current price condition for ADA as "beaten down," and so it may be due for a bounce.
The crypto trader goes on to say that while this does not imply a bottom has been reached, it should provide some short-term reprieve from the bear market. In this case, a daily close below $0.24 could nullify any potential breakout.
On the other hand, if bulls gain traction, the first minor resistance for ADA might come in at $0.27, according to Soloway, and then at $0.30.
On Oct. 19, Cardano's ADA fell to a significant support level of $0.24; however, bulls successfully held the level. Following that, the price surpassed the daily MA 50 at $0.252. The RSI's positive divergence implies that the bearish momentum might be fading.
If bulls sustain their momentum, ADA might retest the $0.27 level and then move to $0.28. This region might be aggressively guarded by bears. If the price falls below $0.28, ADA might persist in range trading for a while.
To indicate the return of the downtrend, bears will have to pull the price below $0.24. The next level of support is at $0.22, followed by $0.20.
Further, the daily moving average (MA) 200 at $0.31 might act as a strong barrier in the event of an upside move.
At the time of writing, was marginally up 0.30% in the last 24 hours to $0.257.
Cardano weekly progress
Cardano developer highlights progress and advancements made in the past week in the most recent report.The Genesis development team created the first draft of a "survivable eclipse duration model." The Cardano node v.8.5.0-pre was released alongside work on subpar handling of future blocks and improvements in the tracing system to assist in troubleshooting the node.
After the recent node v.8.5.0-pre release, work on SanchoNet governance phase 5 is now being iterated. Project Catalyst continues to onboard all 192 Fund10-funded projects.