ADA potential Bollinger band breakout in short term.

13 thg 6, 2021

It can be argued that ADA has bottomed out as fear is gradually dispersing amongst those who lost due to the dump in prices, therefore fundamentals are looking more bullish based on that fact, the markets are likely to gradually reverse now that a bottom has occurred. in relation to BTC, it is possible BTC can consolidate for a couple days which is beneficial to alt coin holders as it creates more attention to the alts.

from a technical standpoint we are currently in a double bottom formation which is slightly angled, which is fine. The confluence of the double bottom is further encouraged by a bounce off the current medium term downtrend we are currently in seen on the chart as the parallel white lines.
Bollinger bands are looking very ready to pop and through confluence it can be argued with a greater percentage the price is likely to break to the bulls. If we can break the top Bollinger band and retrace down in order to create support of the previous resistance it would be a great sign and further confluence that this reversal will take place as predicted. last sign of confluence is within the confines of the yellow parallel lines which forms a bullish descending flag formation, with the price reach of approximately 2 dollars if all technicals play out correctly as predicted.

looking at the indicators on the daily chart it is clear that a reversal is amongst us. RSI is very neutral at approximately 45, which gives us a lot of space to move. MACD shows confluence of reversal shown by a shorter bear candle than the previous candle and could result in a convergence to the bulls in the next couple days.

Thanks for your time, and feel free to leave a comment with your perception on the market whether it be short medium or long term, any views are greatly appreciated.