The chart shows Cardano (ADA) pulling back to retest the breakout zone, presenting a potential long opportunity if support holds.
Key Observations
1. Retest of Pattern: ADA has broken out of a pattern and is now retesting the breakout zone, which aligns with a critical support area.
2. Support Zone ($0.90–$0.88): This is an important level where price is likely to bounce if buyers step in.
3. Bullish Confirmation Needed: Waiting for a bullish candlestick pattern at this level would confirm a potential reversal.
4. Target Levels: If the bounce occurs, the immediate target would be $1.00+, with further potential upside depending on market momentum.
Strategic Implications
Monitor the $0.90–$0.88 zone for bullish signals.
Enter long positions upon confirmation of a bullish candlestick pattern.
Stop-loss placement below $0.88 to manage risk effectively.
ADA is at a crucial retest point. A strong bounce from support could provide a profitable long setup with targets above $1.00. Keep this pair on watch for confirmation.