In this instructional video, The Art of Crypto walks through a complete market‑structure homework for Cardano (ADA). Starting with the daily chart, the presenter identifies a recent bearish breaker structure, multiple broken swing lows, a 1‑day bullish order block, and a fair‑value gap (FVG) that together define the next likely price target. He explains how relatively equal lows represent high‑liquidity zones that the price will likely test before any bullish reversal. Moving to the 4‑hour chart, he highlights a range bounded by micro and macro supply zones, describing how ranges are used to engineer liquidity for larger moves. He discusses the mechanics of liquidity hunts, stop‑loss clustering, and why market makers keep price in tight consolidation. The 1‑hour analysis mirrors the higher‑timeframe bias, offering a short‑term counter‑trend long entry with a 0.5 Fibonacci target within the range. Throughout, he stresses a trading philosophy of setting alerts (not limit orders), using smaller positions, manual stops, and leveraging the Pro Plus subscription for extensive alerts. The video concludes by tying the analysis back to his curriculum (week‑2 lessons, order‑block concepts, golden pocket) and promotes a 30‑minute‑a‑day workflow for scanning multiple charts.
Chapters
So this is going to be the answer for the Cardano ADA homework where you guys need to identify the market structure on the daily chart and do a full analysis and see like what— where is price realistically going to hit. So starting off on the daily chart, we just got a breaker structure recently, so structure is definitely bearish. Like not only did you get this breaker structure, but you got this one, this one, and this one as well. So immediately price is bearish at the moment. And this was the key level that was taken out. Because if you look on the daily chart, right, it sort of goes like this. So you can see that both the key swing lows has been taken out. This is clearly a break of structure. This is not considered a change of character or like a minor break of structure. So price immediately to the naked eye is bearish. And so this is the level that I'm looking for price to target, which is the 1-day demand, uh, back here, right? You can even say that this is not a 1-day demand. And you can narrow it down to an order block, right? This is a 1-day order block. For those of you who've taken Wednesday's lesson, you should be able to identify this. So I'll just put in 1D bullish order block, and that's the level that I believe that it can target. And so before that happens, there are 3 relatively equal lows here. So this becomes another key level as well, because remember what I said about relatively equal lows being very high liquidity right there. So if price— I believe price will target the relatively equal lows first before continuing upwards. But just because there is a 1-day bullish order block over here, which acts as sort of— you know how there is a void of liquidity over here, right? If I just go back, you can see that there is a void of liquidity over here. This is what's known as a fair value gap. So right after the void in liquidity, the first level where you get, you know, liquidity support is in the form of a bullish order block. So in my sincere belief, I think that price is going to be attracted to here, but it's going to wick just a bit lower. Market makers are going to seem— make it seem like, oh, you know, it just wick lower or whatever, but actually it's filling in the order block where they can fill in their positions to reprice the market higher. So basically, I think that on the higher time frame, structure is immediately bearish but has potential to be bullish after it's done being bearish. And this is the immediate key level that needs to be broken for structure to become bullish. So everything here will be invalidated if this structure gets broken with a, you know, a break of structure with a body close above it. Remember what I said about identifying breaks of structure? And the target for that is going to become this bearish order block over here on the 1-day chart right now. If structure becomes bullish though, I believe that this is going to be the target level as well as the bearish order block. You might get rejected here for a bit, but ultimately this is going to be the target because there's— this is just where the liquidity is located at the moment, and you just come back into a 1-day supply zone. Plus Golden pocket. Now, what do I mean by golden pocket? I'm making this video at the time after I've taught the lessons of week two, day two. So you guys should know what I'm talking about when I'm saying the golden pocket. If you haven't, go watch. Go watch the lecture. It's so freaking valuable. It's not even funny. So golden pocket over here, right? You got rejected at the point six one eight right there. That's what I mean when I say golden pocket. And this is the previous daily high that is apparent on the daily chart. So these are the key levels on the daily, and we've identified that it is, you know, looking bearish compared to bullish. Now we go into the 4-hourly and see if there is anything that can confirm our theory or perhaps change our bias. And at the moment, if we just look at recent key levels, I don't see any kind of order block that we could utilize. You could say perhaps this one that price just filled, and so that's why it's pumping at the moment. But then at the same time, you have a 4-hourly supply over here, and that price is getting rejected. So basically price is within a range right now, and you guys know how I feel about ranges. They are just things to engineer liquidity before the ultimate real move. Now, I meant somebody mentioned this in the premium Q&A where he asked me like, hey, what is the point of ranges if they just want to bring the markets lower? Why can't they just bring it lower? And my answer to that is, well, there's not enough liquidity to to just bring the markets down lower, like in one move, no matter how big you are. That's why you need to engineer liquidity. So what happens in a range is that retail traders immediately start thinking, oh, this is resistance. And so they would short resistance and they would go long on support, which is true. That's what you're supposed to do. It's just you need to know when you need to stop doing that or do it in a way that won't get you stopped out when they do the liquidity hunt. So what happens in a range is is that when they keep it in a tight consolidation, they're gonna get trader interest, right? Because most people are very, very impatient. They want things to happen in the market all the time. And so they understand that by keeping the market in a range, they're gonna get people to start taking bets. What happens when people start taking bets? You get an abundance of stop losses that build up here, and you get an abundance of stop losses that build up here. And so the— ultimately, that's liquidity, right? Remember how in lesson 1 I taught about how liquidity is used as fuel to move the markets? And so currently we are in a range situation here. And so in my opinion, like you can see, this is a micro range and this is the macro range, right? Macro range and this is the micro range. So what I'm looking to do is I'm going to want to look for a short once these relatively equal highs are taken out and targeting at least relatively equal lows, which is what you're supposed to do when you're trading a range. But I'm going to get into more of this in a bit. The other one that I could use is, remember I said earlier on the daily chart that this needs to be the level to be taken out If you want to confirm bullish, but most of the time, if you do take this level out, you're gonna—it's just gonna be a wick, in my opinion, because you're going lower. So all my bias on higher time frame at the moment is towards the downside. So if price takes this level out, I'm gonna look for a short. I'm not gonna set the limit over here, as I've taught in the lessons: set alerts, not limits. So, but I'm just—and especially with shitcoins, it's even more important that you don't set limits because. The thing about shitcoins, right, is they have very low liquidity, which means that once a level has been taken out and you get a lot of people like getting stopped out, getting liquidated or whatever, there's going to be an influx of liquidity and the market depth just, the market just doesn't have enough depth to handle that much liquidity. And like what you tend to get is price just wicks really high above the price before ultimately going in the direction that you already knew it was going to. So in this case, I would just run a manual stop, go with a smaller position and just see how it goes, you know, or Setting the benefit of setting alerts, not limits, is that you can monitor how the market structure shifts. In the lower time frame, you get a market structure break, and then you get a retrace back into an order block. Bam! That's an easy entry. If you don't know what that like what I'm talking about there, week one and week I mean day one and day two from week two will put that all together for you. All right. So relatively equal highs is a key level. So I'm just going to mark that out. These are relatively equal highs. Not only that, but this is a supply zone as well. And so. That's trade number 1 that I'm immediately looking at, and that's trade number 2. And my target for this time is actually going to be all the way down here, right? Remember, your higher time frame exists and you use the higher time frame to identify areas where you can take profit at. So for example, if you're just trading on the 4-hourly and the 1-hourly, yeah sure, you know, just short here and take your profit here. That makes absolute sense. But now that you've understood the higher time frame bias, Why not, you know? But again, it really depends on what is your execution and what is your— like, what are you trying to execute? Are you trying to catch a swing trade? Are you trying to catch a short-term trade? It all depends. Ultimately, like, the trade that works for you is the trade that is within your plans, right? You don't have to force things too much. So zooming into that daily bullish order block, we can further identify that there is a fair value gap here. So this is a 4-hour fair value gap. Which price can be attracted to. And right underneath the fair value gap, we can see that there is some kind of an order block over here, and we have relatively equal lows over there. So these are relatively equal lows. So this is, in my opinion, like, if price were to come to any of these levels, I would be looking for longs on all 3 of these levels just as key levels. So what I would do is I would set alerts, set an alert, set an alert, and I would set an alert. I would even set an alert into The bullish order block over here, because remember what I taught you: set alerts, not limits. And this is why I recommend you to get the Pro Plus subscription, so that you know you have 100 alerts to play with. There is no way I can do what I do without being able to set alerts. So that alone makes it worth it. And if you want to start taking trading seriously, you're really going to want to set alerts. Like it's just a bunch of alerts here. And so once price does something, I'll be notified of it. And I can see what I want to do, you know. So that is the 4-hourly analysis, and now we go into the 1-hourly to see if we can frame a trade. So again, nothing really changes from 4 hours to 1 hour. I'm still going to frame it here and here. Oh wait, I think for Cardano I didn't even— I didn't even, um, ask you guys to do 1 hour, but you know, I'm just going to do it for the sake of it anyways. Um, I will take a trade long once this key level has been taken out, probably not targeting all the way up here because it's a counter-trend trade. I already know the higher time frame is going lower, so So what I would do is I would take a long, but I would target it. I'll draw a fib on this range right here, and I'll mark out the 0.5. So the 0.5 is over here. So the 0.5 indicates that that is a mid-range of the range. So that's where I would target for just a quick bounce. Not going to be greedy and hold onto the position, but if in the event that it does go higher and I miss the initial short entry, I'm still going to like short here, right? Notice how I'm planning like 10 steps ahead here. I know basically everything that needs to be known about this chart. And that is the way that I urge you guys to think about the market as well, which is thinking in terms of a grand strategist. Like when you're a chess player or a grand strategist, you don't just try and plan one move ahead and just react accordingly. If you can map out the terrain, understand what the enemy army is, you know, just that kind of strategy stuff, you're gonna do a lot better. But of course you don't make predictions As you can see, I'm still with— I still stand by what I teach, which is read and react. You never try to predict because the markets is just a game of probabilities, and well, there's no certainties basically. So I can also take another counter-trend trade once price hits this level. I can go for a bit of a bounce, but ultimately just understand that the momentum is towards the downside. And especially because there are relatively equal lows here, uh, that is a huge, huge liquidity area. So this is the power of Jumping onto the higher timeframe first, identifying what are those levels before going into the lower timeframe, you will get so much more conviction and you will understand exactly where you can take profits and exactly where the price is trying to target on a higher timeframe. And I might actually just remove both of these alerts because I accidentally moved them. But yeah, this is the analysis on ADA and hopefully you guys have more of an insight as to how I approach doing an analysis on the markets and preparing myself for anything that happens in the markets. Now this all takes just 10 minutes. Like, if I wasn't talking, this would just take 5 minutes. And that's what I mean when I say, like, in this program I'm going to teach you how to make a really good living trading with just 30 minutes a day. Like, in 30 minutes a day, once you get good at this, in 30 minutes you can look through 5 charts to 5 to 10 charts, immediately understand what is good, what is bad, what is interesting, what is not, and you'll be able to frame your trades and I guarantee on a daily basis you're probably going to find something to trade. Not that I, not that I advocate for trading every single day, but you get the idea. So this is my ADA answer. Hope this helps. Cheers.
