- November 7, 2024
- Posted by: admin
- Category: BitCoin, Blockchain, Cryptocurrency, Investments
The post ADA Breakout Alert, Cardano Set for 30% Rally appeared first on Coinpedia Fintech News
Despite the bullish market sentiment across the cryptocurrency landscape, Cardano (ADA) has been the only major cryptocurrency that has not experienced a significant upside rally.
However, this idle cryptocurrency is now poised for a notable rally, thanks to Donald Trump, whose presidential win has shifted market sentiment, leading to the breakout of a strong resistance level.
Cardano (ADA) Technical Analysis and Upcoming Level
According to expert technical analysis, ADA has broken out from a strongly inclined trendline that it has been facing since April 2024. This breakout occurred after 38 days of price consolidation, which is now considered a bullish sign.
As of now, ADA is facing resistance from a 200 Exponential Moving Average (EMA) on a daily time frame, which further indicates a downtrend.
Following this breakout, experts suggest that there is a strong possibility ADA could soar by 30% to reach the $0.50 level in the coming days. However, this bullish thesis will hold only if ADA closes a daily candle above the $0.40 level; otherwise, it may fail.
ADA’s Price Analysis
The potential reason for this breakout is the price surge and the bullish market sentiment. Currently, ADA is trading near $0.39 and has experienced a price surge of 12% over the last 24 hours. During the same period, its trading volume decreased by 13%, indicating lower participation from traders and investors.
Bullish On-Chain Metrics
Additionally, this breakout has also attracted new positions in the past 24 hours. According to the on-chain analytics firm Coinglass, ADA’s open interest has jumped by 18% and continues to rise steadily. This increasing open interest suggests growing trader interest and confidence in ADA and its upcoming price rally.
Meanwhile, ADA’s Long/Short ratio currently stands at 1.03, indicating a strong bullish market sentiment among traders.
When combining on-chain metrics with technical analysis, it appears that bulls are currently dominating the asset and could support ADA in its upcoming rally.
