Key Takeaways
- ADA’s price trading above 50-day and 200-day EMAs is good for bullish price action to the upside.
- Cardano’s price could increase if bulls rally past key resistances of $1.1 and $1.3.
- Current market action for altcoins is becoming bullish following a renewed price rally to BTC’s upside.
Cardano (ADA) is showing great strength to the upside after reclaiming its high above $0.7 in the last few days. The price could attempt a rally towards a high above $1.3, where it faced a strong sell-off towards a low of $0.5.
The current price action indicates a possible end to the bearish downtrend that has affected the price of ADA in the last three months, as bulls are set to rally its price to the upside. With the cryptocurrency market looking strong, there is a high chance of more upside potential for these altcoins.
The price of Bitcoin rallying from a region of $74,500 to a high of $94,700 has ignited upside potential as altcoins are beginning to show increased price action, with many hitting double-digit gains, as this shows strong bullish strength that was missing for weeks.
Traders and investors would look to buy into these crypto tokens as they show more upside potential. A key interest was placed on Cardano (ADA), one of the best-performing altcoins before the market entered a mini-bear market.
ADA’s Market Sentiment
The last few weeks have seen the price of ADA show some strength to the upside after breaking out of its downtrend. The price could be headed towards its key resistance of around $1.1 and $1.3, respectively, which has prevented its price from rallying higher.
In his technical analysis, a crypto expert on X CryptoPatel suggests the price of ADA is not dead. Price is breaking out of its bearish price action towards key resistance of $1.1 and $1.3. A breakout above these zones with strong volume could see the price rally towards $3 to $5 with strong upside momentum.
ADA’s market sentiment is beginning to shift bullish, as traders and investors look for an opportunity to buy into ADA, which is one of the most talked-about projects with strong use cases.
Cardano’s (ADA) Technical Analysis
Source – ADA’s 1D Price Action From TradingView
For the first time in the last few weeks, the price of Cardano (ADA) traded above its 50-day and 200-day EMAs, indicating a potential price rally to the upside. After reclaiming this zone, the price needs to defend its support area of $0.7.
If the price of ADA rallies above the highs of $1.1 and $1.3, we could see a surge towards a new high of around $3 to $5 as bulls continue to dominate the market. The area of interest remains $0.7 and $1.3, as these zones are key for price rallies to the upside or down.
