Cardano (ADA) will become the base currency on IronX exchangeEmurgo and Cardano formed a partnership with IronFX - forex exchange platform. The reason for this partnership is to crowdsource raise $22.3 Million in a private sale, to build a new exchange by the end of 2018 - IronX. Emurgo is a parent organization of Cardano, that has announced its’ plans to use ADA token as a base cryptocurrency in the IronX exchange. a new exchange.
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“IronX is a fully regulated and supported exchange for crypto investors, online traders and ICOs. Created by global leaders in online trading the IronFX Group and Emerge HK, creators of Cardano and ADA Coin, IronX represents a new era in online trading.”
The vision of IronX is to build a crypto exchange that is created with the traditional trader in mind. This is why they are trying to merge the best in traditional trading from IronFX, with the best in crypto Emurgo HK, to create a world-class crypto exchange.
Traders coming from a traditional stock and forex markets, might find it difficult to adopt the way cryptocurrency exchanges operate. Thus it can be more user-friendly for veteran traders to move onto the crypto trading. Considering the fact that IronFX is a well known and regulated forex brokerage firm, with huge client base, it becomes quite obvious about the IronX exchange potential. IronX will be using ADA coin as the base currency, which should substantially increase usage and trade volume of the coin in the long term.
The announcement was made yesterday, October 31, when ADA has reached the $0.071 low. There it has rejected 78.6% Fibonacci retracement level along with the lower trend line of the descending channel. Also, RSI oscillator formed a bullish divergence and then broke above the downtrend trend line, signaling on the potential trend reversal.
Indeed, ADA/USD might finally reverse to the upside. But there is one obstacle that it has to overcome. It is the $0.071 resistance level, where channel trendiness are crossing, confirmed by 61.8% Fibonacci retracement level. Upon the breakout, upside momentum should increase, resulting in more ADA gains. Price could reach the key resistance at 61.8% Fibs level, that is $0.081 price, where previously ADA/USD rejected the 200 Moving Average.
However, as long as Cardano remains below the $0.067 support, downtrend will remain valid. And if it breaks lower, ADA/USD can be expected to drop down to either $0.067 or $0.064 support level.
Of course the price is very attractive for Cardano investors. In fact, for some it might seem like a perfect buying opportunity. But while the risk/reward ratio is great, it could be safer to consider investing after the resistance is broken.
