Cardano (ADA/USD) journeys toward $2 from blue box

Elliott Wave Forecast Team ElliottWave-Forecast.com

Cardano is a decentralized blockchain platform and cryptocurrency (ADA) designed to provide a more secure and scalable infrastructure for the development of decentralized applications (dApps) and smart contracts. Launched in 2017 by the Cardano Foundation and developed by IOHK (Input Output Hong Kong), Cardano is unique for its research-driven approach, leveraging peer-reviewed academic studies to guide its development. It operates on a proof-of-stake consensus mechanism called Ouroboros, which enhances energy efficiency and network security.

Cardano completed a bearish cycle in June 2023. From June 2023 low, the cryptocurrency rallied in a 5-wave structure up to March 2024 before another pullback emerged and was completed in August 2024. Thus, the resultant rally emerges into another impulse structure. When the crypto breached the March 2024 high, we prepared to buy the next pullback if it completes a 3 or 7 swing structure as usual. 3-swing structures are zigzags while 7-swing structures are double zigzag Elliott wave patterns.

Cardano (ADA/USD) Elliott Wave chart – 12.11.2024

ADAUSD, H1

On 12.11.2024, we shared the chart above with members citing a 7-swing structure for wave 4 on the H1 chart. In addition, we identified the 1.037-0.909 as the key blue box zone. We expected new buyers from the blue box to cause at least a 3-swing bounce if not a 5-wave recovery for wave 5. Price reached the blue and bounced as we expected. For trade management, we advised members to take partial profit at 1.066.

Cardano (ADA/USD) Elliott Wave chart – 12.12.2024

ADAUSD, H1

On 12.12.2024, a day after, we shared the chart above with members. The price shows a swift separation from the blue box just as we expected. In addition, price surpassed the risk-free area. Thus, traders now run a risk-free trade after taking partial profit. Going forward, we expect wave ((i)) of 5 to finish. Afterwards, a retracement in wave ((ii)) will follow. For as long as the pullback ends above 0.911, the upside should continue.

Author

Elliott Wave Forecast Team

ElliottWave-Forecast.com

EUR/USD remains depressed below mid-1.1800s; downside potential seems limited

The EUR/USD pair attracts some sellers for the second consecutive day on Tuesday and hovers below mid-1.1800s amid a relatively quiet trading action during the Asian session. The broader fundamental backdrop, however, warrants some caution for bearish traders before positioning for deeper losses.

GBP/USD trades with negative bias, eyes 1.3600 ahead of UK jobs data

The GBP/USD pair trades with a negative bias for the second straight day, though it lacks bearish conviction and holds above the 1.3600 mark through the Asian session on Tuesday. Traders now look forward to the release of the UK monthly jobs report, which will influence the British Pound and provide some impetus to the currency pair.

Gold declines as trading volumes remain subdued due to holidays in China

Gold price extends its losses for the second successive session, trading around $4,930 per troy ounce during the Asian hours on Tuesday. Gold price is trading nearly 0.7% lower at the time of writing as trading volumes stayed thin due to market holidays across China, Hong Kong, and other parts of Asia.

Top Crypto Gainers: Stable, MemeCore and Nexo rally test critical resistance levels

Stable, MemeCore, and Nexo are among the leading gainers in the crypto market over the last 24 hours, while Bitcoin remains below $70,000, suggesting renewed interest in altcoins among investors.

The week ahead: Key inflation readings and why the AI trade could be overdone

It is likely to be a quiet start to the week, with US markets closed on Monday for Presidents Day. European markets are higher across the board and gold is clinging to the $5,000 level after the tamer than expected CPI report in the US reduced haven flows to precious metals.

XRP steadies in narrow range as fund inflows, futures interest rise

Ripple is trading in a narrow range between $1.45 (immediate support) and $1.50 (resistance) at the time of writing on Monday. The remittance token extended its recovery last week, peaking at $1.67 on Sunday from the weekly open at $1.43.