Cardano Aims for 70% Rally, ADA’s Bullish Return
Cardano (ADA) is back in the market, gaining a lot of attention from the crypto community due to its impressive performance over the past few days. ADA's performance has not only attracted investors and institutions, but has also outperformed major cryptocurrencies such as Tron (TRX) and Toncoin (TON).
Cardano (ADA) current price momentum
With amazing speed, ADA is back in the list of top 10 cryptocurrencies. It now looks set to overtake Dogecoin (DOGE) and Ripple (XRP) to claim the seventh spot.
Currently, ADA is trading around $0.447 and has experienced a price increase of over 14.5% in the last 24 hours. This significant price increase has led to a four-month high. During the same period, ADA's trading volume increased by 180%, indicating participation from crypto enthusiasts amid heightened market sentiment.
FOMO in the market
The current market sentiment seems to be overvalued, and daily active addresses are constantly increasing, which suggests that investors have strong confidence in ADA. According to on-chain analytics firm IntoTheBlock, daily active addresses have increased by 8.6 percent in the past 24 hours.
Cardano (ADA) technical analysis and upcoming levels
According to expert technical analysis, ADA looks bullish and is approaching a critical resistance level at $0.45. Based on recent price action and historical progress, if ADA breaks this resistance level and the daily candle closes above $0.45, there is a 70% chance that the asset could rise to $0.76 in the coming days.
Currently, ADA is trading above the 200 Exponential Moving Average (EMA) on the daily timeframe, indicating an uptrend. The 200 EMA is a technical indicator that traders and investors use to determine whether an asset is in an uptrend or downtrend.
Bullish On-Chain Indicators
On-chain measurements further support this bullish view. According to on-chain analytics firm CoinGlass, the ADA Long/Short ratio currently stands at 1.03, indicating strong market sentiment among traders.
Additionally, open interest has increased by 29% and is growing steadily. This steady increase in open interest reflects increased interest from traders, which led to the accumulation of significant new positions over the past 24 hours.
The combination of these on-chain metrics with technical analysis suggests bulls are currently dominating the asset, which could help ADA breach the upcoming resistance and reach its target in the coming days.
