Cardano (ADA), currently the seventh-largest cryptocurrency by market capitalization, has been facing challenges as it struggles to surpass the $0.30 mark. Despite its lack of a significant upward trajectory since last October, analysts remain optimistic and anticipate a strong rally for ADA soon.
While Cardano (ADA) is currently down approximately 92% from its all-time high of $3, there are positive indications of a potential price surge. After hitting a low of $0.22 last month, the cryptocurrency has rebounded by around 33%. Experts believe that this recovery is a promising sign and could set the stage for a significant price increase in the coming months.
Analysts’ Insights on Cardano (ADA)
Renowned crypto analyst Alan Santana suggests taking a long-term perspective when evaluating ADA’s potential.
— Alan Santana (@lamatrades1111) July 2, 2023
“Looking at charts short-term can be fun and can really help to find a good entry for trading purposes. Now, looking at the bigger picture is even better because in this way we can just focus on the long-term.”
Santana has identified a pattern sequence consisting of three stages that may drive Cardano (ADA) price during the upcoming bull market. According to his analysis, the first two stages have already been completed, with the third stage expected to follow shortly.
Moreover, he predicts specific price targets for Cardano, envisioning a potential increase to $0.665 this year and even a surge as high as $1.34. Looking further ahead, the analyst also mentions the possibility of ADA reaching new all-time highs, with potential levels of $4.9 and $7.77.
Another analyst, Dan Gambardello, supports the notion of ADA’s upward momentum. He believes Cardano (ADA) is showing signs of upward momentum on the daily chart, with several indicators suggesting a continuation to the upside.
He highlights the significance of ADA breaking through the $0.32 key resistance level, which coincides with the 0.618 Fibonacci resistance and the 50-day moving average. Gambardello notes higher highs and lows in ADA’s trading pattern, indicating positive momentum. He points to a bullish divergence on the weekly chart’s Relative Strength Index (RSI), suggesting a positive outlook for ADA.
However, Dan Gambardello stated in his video analysis that this is not a sure bet. But there are a lot of things lining up on the chart that suggest it is very much in play.
Current ADA Status
Despite ADA’s struggles in price, the Cardano ecosystem continues to thrive, reinforcing predictions of future price growth. Its Total Value Locked (TVL), in particular, has experienced exponential growth, surging over 148% in the first half of 2023. ADA’s TVL is currently worth $164.47 million as per DefiLlama data.
At the time of reporting, ADA was trading at $0.2939, experiencing a 1.57% decline in the past day but showing a modest 4.82% increase over the past week. ADA’s price of $0.2937 is approximately 27% above its lowest level in June and 37% below its highest point in May this year.