Cardano Dan's Newsletter - Issue #94

Bloodsucking Creatures

Quote of the Day

“Politics: ‘Poli’ a Latin word meaning ‘many’ and ‘tics’ meaning ‘bloodsucking creatures’.”

— Robin Williams

Robin Williams had this just right. There is the rare breed of politician that has kept him or herself from being corrupted. But, the majority of them are bloodsucking creatures.

Thank you all for your big push in contacting your politicians to push for the ongoing opportunity to innovate in the United States. The important votes on the Senate infrastructure bill are happening today; however, there are many more important steps in this process.

Please keep up the good fight into the coming weeks and months. We may win or lose this individual battle today, but there’s no doubt that the war for financial freedom will continue into the future.

Key Takeaways from the Past Week

Monday - Bloody Nonsense

On Monday, I touched on how wit can be a good way of responding to increasing nonsense in the world and provided an update on the growing concern over crypto regulation inserted into the infrastructure bill.

Wednesday - Learn from Mistakes

Mid-week we talked about the importance of learning from mistakes and how that’s exactly what Cardano is doing as a 3rd generation blockchain. We also celebrated the announcement that ADA will list on a Japanese exchange for the first time.

Friday - Small & Great Things

Friday, we noted Van Gogh’s wisdom that “great things are done by a series of small things brought together.” That is Cardano in a nutshell.

I also issued a call to action for U.S. Citizens to contact their Senate representatives to stop the crypto regulation insanity. Many of you responded. Thank you!

Technical Analysis

Weekly updates are all about zooming out.

In the last weekly recap, I said

$1.50 remains a crucial level that’s important to reclaim to show ADA is ready for a new move higher.

and

my primary expectation remained a major Wave 5 run starting soon (if it hasn’t already begun).

but

there remains the looming specter of crypto related legislation and regulation. If something major happens in that regard, it could be very negative or positive. Hard to predict the impacts of these actions.

All of that remains true at this moment. Below, you’ll see a chart that encompasses the entire bull cycle we’re still in (IMHO). After Wave 1 up, there was a Wave 2 with very similar structure to our current Wave 4. When $.115 broke, ADA made a nice move, consolidated around Wave 1 highs and then rocketed higher.

I expect that same behavior around breaking $1.50 soon. I think we will see ADA consolidate between $1.50 & $2.50 and then ADA will rocket higher in the final Wave 5 of the current bull cycle.

I’ll be sharing some price targets for this final wave over the coming weeks and months.

Looking at the crypto majors performance since March 2020 lows. Even with Ethereum’s strong performance against Cardano recently, check out the bull market performance difference between the two!

Finally we look at our Bitcoin and Ethereum comparisons using market cap ratios.

Ethereum is currently benefiting from the London hard fork event and the beginning of ETH burning. This is not a surprise. It’s also why I switched to the market cap ratio charts below instead of the price charts. Hopefully the data feeds behind these are taking into account the circulating supply as it changes from the burns.

Cardano ADA appears to be at very interesting support levels when comparing to both BTC and ETH. Combine that with the release of Alonzo in just a few weeks and I expect ADA to gain some ground against Bitcoin and Ethereum soon.

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

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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