Van de Poppe Draws Key Levels For Cardano To Keep Bullish Momentum
Popular cryptocurrency trader and analyst Michaël van de Poppe is closely following on Cardano as he draws out the critical areas that must hold in order for ADA to keep bullish momentum in BTC and USDT pairs.
In a recent video, the Dutch trader tells his 105K YouTube subscribers that ADA/BTC pair must hold its immediate support, or it could see a big correction.
“If we look at the support in general, we can find one in the area that we have here (0.000039). You preferably want to see Cardano hold this entire range, especially given that we’ve had a similar construction previously before we started to continue moving. So you don’t want to see ADA break beneath this entire construction. If that is going to happen, then I’m targeting 2,900 satoshis (0.000029) as the next obvious entry point.”
Focusing firstly on the USDT (Tether) pair, the trader says he’s expecting ADA to spark a rally as long as it can maintain above a key area. Otherwise, a drop to long-term support of $1.00 is in the cards.
“When you look at the USDT pair, you can see the crucial area of support is also holding up here ($1.38). If that is lost, the entire structure of higher highs and higher lows is being lost in general here, meaning that I’ll be looking at the $1.00 area in general for Cardano at this stage. But if we do hold here ($1.38), you want to see the Bitcoin pair bouncing back strongly as then we can start targeting the resistance ($1.85), and then we might be starting to target new highs as well.”
Regarding Bitcoin, the van de Poppe says BTC has been able to fight the bears, and he suggests it’s a signal for a move above $40,000 resistance.
“On the lower timeframe, on the recent price action, we’ve had a fakeout to the downside. We failed to break further down, so we failed to flip this level ($34,500) for resistance through which we are back into a range construction and are eager to test the upper bound resistance of the range which is between $39,000 to $41,000.
In that case, most likely, we’re going to have such a breakout to the upside, meaning that we most likely have reversed as we’ve had this test to the downside, and we have avoided any further downwards momentum.”
