Cardano lost ground against the US dollar on Friday morning before making a moderate afternoon recovery, trading around $0.0935 and going up by 2% compared to the previous session. Over the last week, the sellers have been getting less active, and the investors lost less than before. Dmitriy Gurkovskiy, Chief Analyst at RoboForex, says the major outlook for Cardano is currently neutral.
Technically, Cardano is correcting on H3 against the previous descending trend. This correction trend has achieved 23.60% Fibo and may continue to 38.20% (0.12073) and 50.00% (0.13227). The current trend support is meanwhile at 0.08319.
On H1, there’s a more detailed view on Cardano, with a descending channel converging, which could mean a reversal is coming. The key reversal signal for that will be the resistance breakout at 0.09640. The nearest target may be at $0.10631, which is the projection channel resistance. The MACD being headed up and the Stochastic leaving the oversold territory also confirm this reversal.
Among the news, one of the most interesting is the information that Cardano is going to update its functionality. In August, IOHK CEO Charles Hoskinson spoke about new opportunities for the projects based upon the coin’s blockchain.
One such project is Icarus, which is a base for creating lightweight wallets with an ability to set up and customize additional features depending on the product purposes. Such wallets are called lightweight, as they don’t load the whole blockchain — just the server side will do.
Another project announced in August is Prometheus, which is another base for creating your own wallets. It is written by means of language called Rust and may be used directly in a web browser. There are also some projects related to smart contracts, a very powerful feature that may become fully functional in the finance industry pretty soon.
The main news on the crypto market in general are mostly related to the SEC decisions. Lately, the agency declined a few bids on creating bitcoin ETFs. However, one of the SEC officers soon tweeted that these bids may be re-considered moving forward. It was initially clear that SEC resolution was not final, but now that it’s been confirmed, it’s much better for the crypto market.
Any predictions contained herein are based on the authors’ particular opinion. This analysis shall not be treated as trading advice. RoboForex shall not be held liable for the results of the trades arising from relying upon trading recommendations and reviews contained herein.
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Last modified: May 20, 2020 6:05 PM UTC