Cardano Dan's Newsletter - Issue #141

Trot About

Quote of the Day

“The dog that trots about finds a bone.”

— Golda Meir

This is a different take on a theme that I talk about a lot. Do you want to make a difference or be successful? Sitting in one spot isn’t going to get you there.

You need to “trot about” to find that bone. If you aren’t already, get out there and start trotting about - in other words, put in the effort and go looking for a bone. Sometimes you’ll actually find one.

Key Takeaways from the Past Week

Monday - Quality

For me and the team, this week was all about the Zombie Chains drop. Monday we talked about all the work we put into the quality of the NFTs and why quality is everyone’s responsibility.

Wednesday - Get Up

Wednesday was the drop of Zombie Chains. I shared about the importance of getting back up after you get knocked down. I’ve seen my share of failure in my life, and if I didn’t get back up, Zombie Chains would have never happened.

Friday - Do New Things

Friday we celebrated the successful SELL OUT of Zombie Chains and I shared my love for doing new things. If you love doing new things too, it’s important to be able to get back up (see Wednesday) because sometimes they don’t work out. Zombie Chains has so far though, and the team is so thankful for everyone’s support.

Technical Analysis

Cardano ADA broke out of the tight range that it was in and it broke DOWN. That was unexpected (at least to me). However, crypto loves to do unexpected things to wash leveraged traders out of their positions.

About a week and a half ago, Bitcoin broke its prior ATH and I shared a warning that often time people pile into leveraged positions when moves like this happen only to get liquidated. That is exactly what happened in this case, which wasn’t so unexpected. And it’s impacting all of crypto.

When you zoom out to see Cardano ADA for the bull run, my chart looks like this. I’ve highlight two key horizontal support levels.

Zooming in and adding Volume Profile looks like below. You can see we are naturally filling in some volume gaps. Once this is done, I expect to see ADA move higher and fast.

Looking at the crypto majors performance since March 2020 lows. Cardano still in a league of its own among majors. However, it’s looking like it could be caught for the first time in a long time.

BNB and SOL appear to be making a major move on ADA. You will remember that back in April and May, BNB actually caught ADA, but only for a brief time. That BNB run was associated with BSC adoption… similar to what Cardano is about to experience with smart contract adoption after PAB launches. Which is why I could see a major move higher from ADA soon.

Finally, looking at the market cap ratios against Bitcoin and Ethereum… it’s been a down week against both pairs again.

ADA is still on top of important technical support levels in both of these ratios, but that support is being tested in significant ways. The coming weeks are important for ADA. A move below current levels would be less encouraging but if this support holds, it serves as a great foundation for higher levels.

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

Before You Go

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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