Cardano, Dogecoin & Bitcoin — Asian Wrap 20 October

Cardano (ADA) hovers around $0.64 at the time of writing on Monday, having corrected nearly 7% in the previous week. Derivatives data signal waning trader confidence and growing expectations of further downside as Open Interest (OI) drops to a yearly low, coupled with a surge in short bets. The technical indicators also suggest the potential for a deeper correction targeting levels below $0.60.

Dogecoin holds steady above $0.19000 at press time on Monday, following the 5% gains from two consecutive days of recovery. The meme coin approaches the $0.20000 psychological level after bouncing off the $0.18527 support formed on October 11. If Dogecoin’s recovery reclaims the 200-day Exponential Moving Average (EMA) at $0.22021, it could extend the rally to the centre Pivot Point level at $0.24818. Furthermore, it could avoid an impending Death Cross pattern between the 50-day and 200-day EMA.

Bitcoin price faced rejection from the 50-day Exponential Moving Average (EMA) at $113,950 on Tuesday and declined 7.36% by Friday. However, BTC found support around the 61.8% Fibonacci retracement at $106,453 on Saturday and recovered by 2.22% the next day. At the time of writing on Monday, BTC hovers at around $108,700. If BTC continues its price correction and closes below the $106,453 support, it could extend the decline toward the October 10 low of $102,000.