Cardano’s (ADA) – Aiming for a bullish outlook upgradePosted on Tuesday, March 22 2022 at 9:01 pm GMT+0000
Cardano’s (ADA) bulls gained significant power lately and managed to overshoot the falling regression channel stretched from the September 2nd ATH at 3.10.
The 10- and 20-day simple moving averages have performed a bullish intersection backing the ascent, while the oscillators are promoting further positive developments. The Awesome Oscillator turned positive for the first time in more than two months and the ROC is underpinning its uptrend in the bullish territory, above its moving average.
Currently, all eyes are turned towards the nearby March 1st top at 1.01, where a decisive close beyond will accelerate the rally towards the 161.8% Fibonacci extension level of the March 1st – 13th down-leg at 1.16. Another victory at this point will see an aggressive extension higher that slices through the February 8th top at 1.27 and most likely reach the 261.8% Fibonacci extension level at 1.39.
Otherwise, if sellers resurface and steer the price lower, prompt support may initially arise from the upper-line of the regression channel ahead of the 10- and 20-day simple moving averages around 0.86 – 0.84. Clearing these lines, sellers may then challenge the support belt of 0.78 – 0.75, linked to the March 14th and February 24th lows, before pursuing the mid-regression line.
In summary, Cardano’s medium-term downtrend seems to be languishing. Yet, only a decisive close above 1.01 would officially signal a bullish trend reversal.