Key Highlights:
- Cardano's ADA experienced a 12% increase in the last 24 hours, outperforming major cryptocurrencies as Bitcoin (BTC) remains within a defined trading range.
- Chart analysis indicates potential further gains of up to 30% for the ADA token soon.
Programmable blockchain Cardano's ADA token marked a 12% rise within the last day, leading advancements among major cryptocurrencies as Bitcoin's fluctuations have affected the overall market. ADA recently surpassed the $1 threshold, achieving a three-week peak, while Bitcoin, Ether (ETH), Solana (SOL), and Dogecoin (DOGE) recorded less than 2% changes.
The broad-based CoinDesk 20 (CD20), a liquid index monitoring the largest tokens by market capitalization, rose 1.57%.
Traders speculate Bitcoin's price may stay range-bound until late January. Anticipated movements are expected as President-elect Donald Trump takes office, as explained in a previous analysis by CoinDesk.
Although ADA's recent rise has no immediate triggers, the protocol is poised for several critical advancements in the upcoming months. Upcoming improvements encompass a Bitcoin-centric decentralized financial system, and ongoing enhancements aimed at boosting Cardano's scalability, network performance, and cross-network interoperability.
Market analysis indicates that ADA could see further enhancements of up to 30% ahead.
“ADA's three-day hike has lifted prices beyond a trendline marking a four-week pullback from early December highs,” stated CoinDesk analyst Omkar Godbole. “The recent breakout and a renewed bullish crossover on the momentum indicator MACD suggest a potential re-test of December 3 high at $1.32.”
“The extensively tracked 14-day RSI is set to cut through a descending trendline, confirming bullish price movements,” Godbole added.
In terms of technical analysis, the MACD (Moving Average Convergence Divergence) indicates momentum by utilizing average prices across a timeframe, with a bullish crossover pointing to a potential price increase. The RSI (Relative Strength Index) gauges the speed and change of price movements; cutting through a trendline indicates ongoing upward momentum.
