ADA/USD Long-term Trend –Ranging
Supply zone: $0.0600, $0.0800, $0.1000
Demand zone: $0.0100, $0.0080, $0.0060
ADA remains in a range-bound market in its long-term outlook. The strong bearish pressure continued within the range despite the push to $0.04143 in the supply area by the bulls on 31st January. ADAUSD dropped to $0.03736 a break in the lower demand area but closed above the area.
The rejection at the 10-EMA against further upward price movement after the bulls pushed the cryptocurrency to $0.04012 on 3rd February and subsequent dropped in price to $0.03791 was an indication of bear dominance as confirmed by the stochastic oscillator in the oversold with it signal pointing down at 12%.
ADAUSD is consolidation and trading between $0.05200 in the upper supply area and at $0.03800 in the lower demand area of the range. A breakout at the upper supply area may be considered for a long position after a retest while a breakdown at the lower demand area may be a short position with good candle pattern as confirmation for entries. Hence patience is needed to allow this occurred before taking any back position.
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