How Cardano's ADA Could Surge to $2
Analysis indicates Cardano's ADA might break from a key triangle formation, potentially reclaiming the $2 mark.
Cardano (ADA) is trading near $0.81 as of the latest updates, with a daily trading volume of $1.4 billion. The price has slightly declined in the last 24 hours, down about 5% over the past week.
Triangle Pattern Indicates Potential Movement
Crypto analyst Ali Martinez shared a 12-hour chart indicating ADA is consolidating within a symmetrical triangle pattern that initiated in late 2024. Observers are targeting $0.69 as a potential buy point and a sturdy support level, coinciding with the 62% Fibonacci retracement zone.
“Everything’s lining up for Cardano $ADA! $0.69 is the dip to buy before $2.” — Ali [(source)]
Interestingly, market expectations show potential upward targets at $1.28, $1.58, and $1.86, derived from Fibonacci extensions, suggesting structured trading activity.
Key Resistance and Observations
Jonathan Carter pointed out in a separate report that ADA is displaying a symmetrical triangle, characterized by higher lows and lower highs. The 50-day moving average (MA 50) is currently presenting resistance as the price hovers around $0.80. A breakout could lead to new highs at $0.96, $1.15, and $1.50.
Additionally, the Relative Strength Index (RSI) remains neutral, indicating that movement could sway either way based on market momentum.
Market Sentiment Analysis
As per data from CoinGlass, ADA’s long-to-short ratio is at 0.93, revealing a predominance of short positions—reflecting a cautious approach among fiat traders. Furthermore, ADA Orca, a key developer within the Cardano ecosystem, has reported a decline in active wallets, dropping to about 1,000 from 8,000 in late 2024.
In tech advancements, Cardano’s team has deployed Hydra Node version 1.0.0, moving away from testing and signalling readiness for its Layer-2 protocol, focusing on enhancing scalability and network performance.
