Cardano (ADA) appears poised for a substantial price surge, with technical analysis and on-chain data pointing to bullish momentum. The cryptocurrency’s recent price action has formed a double-bottom pattern, while also breaking above the critical $0.47 resistance level, signaling a potential trend reversal in favor of buyers.
Reinforcing the positive outlook, Cardano’s network activity has been on the rise, with a notable increase in active addresses and transactions by large investors, often referred to as whales. This heightened activity suggests growing demand and accumulation of ADA tokens by major market participants.
Technical indicators further validate the bullish sentiment, with the Relative Strength Index (RSI) displaying a bullish divergence, hinting at strengthening upward momentum. If Cardano can sustain its position above $0.47 and breach the $0.52 resistance, a 15% rally toward $0.60 could be on the horizon.
However, it’s worth noting that a failure to overcome the $0.52 hurdle, coupled with an overall bearish crypto market, could potentially trigger a price correction. In such a scenario, a daily candlestick close below $0.42 would invalidate the bullish outlook, potentially leading to a 7% decline toward the $0.39 support level.
