Crypto analyst LuckSide has argued that Cardano (ADA) is standing at a critical juncture, facing a pivotal moment that will determine its future trajectory.
According to LuckSide, ADA is on the verge of making a decisive move to the upside or the downside. His view about Cardano’s trajectory stems from a significant disparity between bullish and bearish scenarios.
Bullish and Bearish Scenarios For Cardano
LuckSide utilized TradingView’s block tools to illustrate a substantial liquidity gap in ADA’s price chart. The analysis pointed out a resistance zone from $0.60 to $0.67 that ADA has been contending with recently.
In parallel, LuckSide highlighted a considerable open gap that Cardano quickly covered and a support level.
Furthermore, the analyst noted several factors converging, including a bullish pennant. He mentioned the 20-day moving average, which is still ascending, that ADA tested during a recent downtrend.
These factors lead LuckSide to predict that ADA is poised for one of two potential explosive moves. The first is an upward surge into the $0.70 range, a threshold Cardano has not seen in about 17 months.
However, the second projection expects ADA to crash to $0.40 potentially. Meanwhile, he emphasized that the analysis is not financial advice and that chart predictions have no guarantees.
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Nonetheless, the analyst leaned towards a more positive outlook for ADA, giving strength indicators demonstrating promising trends.
Besides, the analyst argued that traders opening short positions are the primary contributors to downward pressure. According to him, these are market participants attempting to recover losses incurred during ADA’s impressive price upswing in the last 30 days.
Explosive Moves Starting 2024
Also, the analyst drew bullish inferences from the proximity of the upcoming Bitcoin halving. He stated that the Bitcoin halving, expected next April, has never been this close to the beginning of the year before.
This proximity led him to speculate on the possibility of an explosive move at the beginning of 2024. He asserted the market might not look back until after the halving.
However, he cautioned that there are no guarantees, acknowledging the potential for unforeseen events or market downturns.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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