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ADA has been hovering around 0.39 USDT recently, with the 24-hour chart showing a mostly sideways movement.
Looking at the chart, the consolidation range is indeed very narrow, with neither bulls nor bears exerting much effort. The price has been repeatedly testing the medium- and short-term resistance zone but has not made any clear breakout moves. In this state, it often indicates that a direction is being brewed.
The trading volume is quite interesting—it's clearly shrinking, indicating a lack of short-term momentum. On lower timeframes, the bulls seem somewhat powerless. The longer the price lingers below the resistance zone, the higher the probability of a decline.
If you are bearish on this market, you might consider the following:
- Entry: in the 0.395-0.405 range
- Stop-loss set at 0.420, with proper risk management
- First target at 0.370
- Second target at 0.350
The core logic is that prolonged consolidation below the resistance level usually leads to a downward retest of support. This approach is still valid from a technical perspective. Of course, the specific trading strategy should also consider your own risk tolerance.