ADA/USD price analysis: Bulls in the driver seat as Cardano welcomes Shelley testnet
- ADA/USD nears the $0.1 territory following four straight bullish days.
- Shelley testnet allows users and developers to play around with staking.
Cardano, the brainchild of Ethereum co-founder Charles Hoskinson, released the much-awaited Shelley testnet. The testnet will allow users and developers to play around with staking and staking pools. It is hoped that it will help the company to prepare for the transference of blockchain governance from IOHK (the company behind Cardano) to the community.
The testnet will be rolled out in three different phases:
- Phase 1: Enable users to host a Rust self node and establish a basic stake pool configuration.
- Phase 2: Connection of various nodes into a “single unified testnet.”
- Phase 3: Initiation of delegation and incentives scheme.
ADA/USD daily analysis
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The market has responded to this news by stringing together four straight bullish days. The price has gone up from $0.0877 to $0.096 over these four days. The bulls will want to ride this momentum and enter the $0.1 zone.
The market has found support on the upward trending line and the 20-day simple moving average (SMA 20) curve. The market is also trending comfortably above the SMA 200 and SMA 50 curves. The 20-day Bollinger jaw is widening, indicating higher volatility, as the price is flirting with the upper curve of the Bollinger band.
The Elliot wave oscillator has had two straight bullish sessions of increasing intensity, following four consecutive bearish sessions. The moving average convergence/divergence (MACD) has had two straight bullish sessions as the signal line is diverging away from the MACD line. The relative strength index (RSI) indicator is trending around 60.60.
Author
Rajarshi Mitra
Independent Analyst
Rajarshi entered the blockchain space in 2016. He is a blockchain researcher who has worked for Blockgeeks and has done research work for several ICOs. He gets regularly invited to give talks on the blockchain technology and cryptocurrencies.
