ADA/USD Medium-term Trend: Bearish
Supply zones: $0.0600, $0.06600, $0.06800
Demand zones: $0.02000, $0.01500, $0.01000
ADA is in a bearish trend in its medium-term outlook. The consequent of the double top formation at $0.04100 in the supply area is continued bearish pressure to the target at $0.03400 in the demand area in the medium-term.
$0.03675 in the demand area was the low of the day compared to $0.03765 of 3rd December. This is a higher low and lower low formation which is characteristics of a down trending market.
Today’s 4-hour opening candle at $0.03779 sustained the bears’ pressure as ADAUSD found a low at $0.03637 shortly after opening.
Price is below the two EMA and the stochastic oscillator in the oversold region at 20% and its signal points down. These suggest downward price movement as the bears’ pressure becomes much stronger in the medium-term.
ADA/USD Short-term Trend: Bearish
The cryptocurrency is in a bearish trend in its short-term outlook. After a two-time upward price movement to $0.04067 in the supply area, the bulls lost momentum coupled with the resistance at the 50-EMA.
The bears’ return was signalled with the large engulfing candle at $0.03982 as ADAUSD went down to $0.03718 in the demand area before the end of yesterday session.
The bearish momentum was sustained briefly after opening with the cryptocurrency down to $0.03641in the demand area.
Price is below the two EMAs that are fanned apart which implies strength in the downtrend. The stochastic oscillator is in the oversold region at 10% and its signal points down. This suggests a downward price movement in the short-term.