ADA Price Breaks Key Resistance: Is Cardano Set for a Major Rally?
Cardano (ADA) is turning heads again. After a prolonged consolidation phase, ADA is showing fresh signs of bullish momentum. The altcoin surged past a key resistance zone and is trading around $0.79 at the time of writing. With institutional interest growing in smart contract platforms and ADAs strong fundamentals, many investors are watching closely to see if this could be the beginning of a larger trend. Let's dive into the charts to uncover whats next for Cardano.
Cardano Price Prediction: Bullish Breakout Brewing
The daily chart presents a strong bullish development. ADA price has broken above its 50-day simple moving average (SMA), currently around $0.72, and is now eyeing a close above the 100-day SMA at $0.78. This is the first decisive move above the major moving averages in over two months. The recent candle shows a clear bullish engulfing pattern, coupled with higher volume and momentum, indicating strong buying pressure.
The ADL (Accumulation/Distribution Line) is sloping upward, confirming that accumulation is underway. The next significant resistance lies near the 200-day SMA at approximately $0.79$0.80. A close above this level would trigger a broader breakout with potential targets toward $0.88 and $1.00 in the coming weeks.
Hourly Chart Insights: Momentum Gaining Traction
Zooming into the hourly chart, ADA price is riding a strong uptrend that began around the $0.70 mark. The price action is consistently making higher highs and higher lows, a classic bullish structure. The ribbon of moving averages is aligned in bullish order the 20, 50, and 100 SMAs are all stacked above the 200 SMA.
The most recent hourly candles show a minor consolidation just below $0.80, suggesting a potential flag or pennant formation, which typically leads to continuation. If ADA manages to flip $0.80 into support, intraday traders could see upside targets at $0.82 and $0.85 in the short term.
Cardano Price Prediction and Outlook
If Cardano price maintains momentum and closes above $0.80 on the daily time frame, it opens the door to test the $1.00 psychological level, which also aligns with prior structure resistance. The technicals suggest that the bullish trend may have just begun. On the downside, support lies around $0.74, followed by a stronger level near $0.70.
Conclusion
Cardano is displaying renewed bullish strength after months of sideways trading. Both the daily and hourly charts indicate a trend reversal backed by volume and moving average alignment. With broader crypto market optimism and Cardanos increasing DeFi adoption, ADA could be gearing up for a strong rally. Traders should monitor $0.80 for a potential breakout confirmation and place stop-losses below $0.74 to manage risk.
Read more: https://cryptoticker.io/en/ada-price-breaks-key-resistance-is-cardano-set-for-a-major-rally/
Text source: CryptoTicker
