Cardano Dan's Newsletter - Issue #121

The Summit

Quote of the Day

“I had gained the summit of a commanding ridge, and, looking round with astonishing delight, beheld the ample plains, the beauteous tracts below.”

— Daniel Boone

The great thing about summits is they can give you a far-reaching view and larger perspective.

We’re only half a day into the two day summit and you can get a sense of the ambitions, scale, and reach of Cardano. Partnering with a Fortune 250 company to bring Decentralized IDs (DIDs) to mobile users is brilliant. A Chainlink partnership shows growing credibility amongst other blockchain projects. And more.

The larger perspective from this Cardano Summit? Cardano is here to play and we’re just getting started.

Key Takeaways from the Past Week

Monday - Spreading Light

Monday we talked about spreading light instead of darkness and noted that Charles has plans to travel throughout Africa shortly after the Cardano Summit.

Wednesday - On The Way

Mid-week we observed that it’s almost always necessary to experience failure on the way to success and we also celebrated the launch of NFT Key!

Friday - Right Timing

Friday’s newsletter talked about why it’s often not enough just to be right; timing is important too. We also touched base on China FUD, Evergrande, and regulatory updates during a very busy news week related to markets and crypto.

Technical Analysis

Cardano ADA tested $2 and the trend support this week. The answer to the test was resounding. The green trendline looks like solid support.

Last week I talked about the Wave 3 breakout (green lines) being similar to the current Wave 5 attempted breakout (red lines) we’re seeing.

If / when $2.47 is reestablished as support, I think the market cycle and timing is all set up for a solid move back to the top of the channel. Depending on the timing of move, it could see ADA reach $8 (if a very quick move) or $15 (if the most lasted until end of 1Q2022 like many people expect in the “lengthening cycle” scenario.

Many of you will remember that I called for a first take profit level for this cycle of $3.90 and I expect that we’ll see that in October. I’ll share my next level after that first level is reached.

As always, this is not financial advice and you should do your own research!

Looking at the crypto majors performance since March 2020 lows. Cardano had a much better week than most majors and continues to be the best performing crypto major this cycle.

Finally, looking at the market cap ratios against Bitcoin and Ethereum… I mentioned that Cardano ADA had a much better week than most majors. That’s true for both Bitcoin and Ethereum.

So much so, that ADA is threatening to establish new weekly closing highs soon. Not far from price discovery!

Remember what I said last week:

I expect major adoption events and news in the coming months that I believe will propel Cardano ADA into “discovery” territory on both of these comparisons.

I’m still feeling it.

That’s it for the weekly recap. Hope you all have a great rest of your weekend and enjoy the Cardano Summit!

Before You Go

Comments are turned on for this post. I’d love to hear your thoughts, questions, feedback, and reflections below.

This newsletter is for entertainment and educational purposes. I’m not a financial advisor and you should do your own research and consult a financial advisor before investing in cryptocurrencies