Weiss Crypto ratings recently suggested that Cardano (ADA) has performed admirably in solving safety and liveness issues, doing so in a much better fashion than Ethereum.
Nevertheless, the foundation was recently entangled in a controversy, when a debit card was announced, called “Cardano Gold”. It allegedly offers the best conversion rates, supporting BTC, ETH, LTC, XRP, and DOGE.
The Cardano foundation, however, stated that the card is not associated with them, and their use of the Cardano trademark is illegal.
#Cardano Gold is not associated with us in any way. It is infringing on our trademark and violating our registered TM. Cardano Gold’s use of our trademark is illegal and we urge you to beware of this #scam.
— Cardano Foundation (@CardanoStiftung) November 6, 2019
$BCH and $ADA have been in sideways ranges for the longest duration of all the Majors. In comparison:$BCH 118 Days$ADA 90 Days$LTC 88 Days$EOS 60 Days$TRX broke it's range after 58 Days$XRP broke it's range after 38 Days pic.twitter.com/C8PosHdIHZ
— Cold Blooded Shiller (@ColdBloodShill) November 7, 2019
The other major coins in the comparison are LTC, EOS, TRX, and XRP. LTC and EOS have been trading sideways for 88 and 60 days, respectively, while TRX and XRP broke their range after 58 and 38 days.
Let’s take a closer look at BCH and ADA and see who will be the first one to break out.
BCH has been trading inside a range between ₿0.026 and ₿0.033 for the past 118 days. This represents a price movement of 25%.
There have been multiple touches of both the resistance and support areas. The price is currently trading in the resistance area.
Looking at the longer-term time-frame, we can see that the support and resistance areas both coincide with previous significant areas.
Additionally, the movement inside the current range has been combined with a very significant bullish divergence in the RSI and a bullish cross in the MACD.
This makes us think that BCH will soon break out from the current range and heads toward ₿0.04. This belief is strengthened by the creation of last week’s bullish engulfing candlestick.
ADA has been trading inside a range for a shorter time than BCH, more specifically 90 days. However, the price movement has been more volatile, since ADA has been moving in a range of 32%.
Additionally, the longer-term outlook for ADA looks different.
First, the support range comes at an all-time low, instead of at a significant level as in BCH.
Second, there is no bullish divergence in the RSI. Instead, the RSI has made a double bottom in oversold levels. A bullish cross in the MACD followed shortly after.
While ADA also looks like it will move upwards, it could continue trading inside the current range for several weeks.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.
Images courtesy of TradingView, Twitter.
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