- Cardano recently manipulated upward to grab liquidity and trap retail buyers
- Price is now building liquidity below, likely before targeting a key daily demand zone
- If a structural shift occurs on lower timeframes (M3/M5), we could be looking at a high-probability long setup
If you’ve been following my previous updates, you probably remember what we talked about with SUI — that classic liquidity grab before a real move. Well, Cardano (ADA) just pulled off a similar trick.
And honestly, it reminded me of the first time I got faked out by a bullish candle back in 2021… only to watch price melt the second I bought. Classic.
So here’s the breakdown.
We spotted liquidity resting above, and ADA did exactly what seasoned traders feared — it manipulated to the upside, luring in retail FOMO with a perfect illusion of strength.
I could almost hear the rush: “ADA is finally moving!” And then? Boom. Liquidity taken. Positions stopped out. Price dropped.
But now… it’s leaving liquidity below.
Let that sink in for a second.
We’re seeing sell-side liquidity build-up, and if you’ve been around the block, you know what that usually means.
It could be a setup for one of those “panic wicks” — price drops just enough to tap that liquidity pool, maybe even cause a mini meltdown on Crypto Twitter — and then suddenly reverses.
And here’s the thing — that demand zone we marked last time? It’s still valid.
If ADA reaches that level and we get a clean structure shift on the lower timeframes, say M5 or M3, we might just be looking at a juicy long setup. But — and I can’t stress this enough — only if we see real signs of reaction and intention. No confirmation, no trade. Period.
I know some of you like to front-run the market, and hey, I get it. But front-running without structure change is like catching a falling knife while blindfolded.
What if you’re more bearish?
Well, then your eyes should be glued to how price interacts before hitting that demand.
If ADA starts consolidating just above liquidity, forming clean equal lows… be careful. That’s textbook bait for a breakdown. Sometimes, I even imagine the market makers smirking as they set these traps.
Either way, Cardano is at a decision point. The next few moves could define whether we’re gearing up for a push higher — possibly above the last manipulation zone — or heading into deeper waters to grab more liquidity before a true reversal.
Key Takeaway?
- We can’t predict the future. We can only stack probabilities, follow liquidity, and act on confirmations. These scenarios are just that — scenarios. Not certainties.
- But if you’re patient enough to wait for the right signs, ADA might just reward you.
- Until then, keep your eyes open. And your stops tighter.
