The Potential Breakouts of Bitcoin and Cardano
The crypto analyst from Crypto Capital Venture believes that both Bitcoin and Cardano (ADA) could be on the verge of significant breakouts, as discussed in his recent video. Although he does not declare a new bull market, the analyst observes signs of building momentum, particularly in the case of Cardano.
Potential Breakout for Bitcoin
Regarding Bitcoin, the analyst is keeping a close watch on a crucial long-term resistance level at $38,000. He notes that this aligns with shorter-term overhead resistance on the six-hour chart. If Bitcoin manages to surpass this level, it would indicate a breakout that has not been seen in previous cycles. However, the analyst also suggests that Bitcoin might experience a pullback towards $33,000 before attempting a breakout.
Bullish Breakout for Cardano
On the other hand, the analyst finds Cardano’s price action to be even more exciting. ADA has broken out from a long-term falling trendline and is positioned above its 20-week and 50-week moving averages. This suggests that there is still room for ADA to rise before reaching overbought levels, unlike other tokens that have already experienced significant gains.
Potential Targets for Cardano
An ascending triangle pattern on the daily ADA-USD chart indicates a potential target of $0.45 if resistance around $0.40 is overcome. A successful breakout could lead to testing key resistance levels around $0.70 in the future. However, failure to hold the 20-day moving average during a pullback could result in a steeper decline for ADA.
Conclusion: Signs of Upside Momentum
In conclusion, both Bitcoin and Cardano show signs of brewing upside momentum. If sustainable breakouts occur in the short term, it could indicate the beginning of a new bullish period for cryptocurrencies heading into 2024. However, the analyst also warns that choppy and sideways price action should not come as a surprise.
Hot Take: Potential Breakouts for Bitcoin and Cardano
The crypto analyst behind Crypto Capital Venture believes that both Bitcoin and Cardano are showing signs of potential breakouts. While Bitcoin faces resistance at $38,000, a successful breakout could be unprecedented. On the other hand, Cardano’s price action is considered even more exciting with its breakout from a long-term falling trendline. ADA’s bullish momentum suggests further room to grow. Both cryptocurrencies exhibit upside potential, but caution is advised as the market may still experience choppiness and sideways movement.
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