Cardano Price Prediction: Will ADA Climb to $3 Again?

If the prediction of technical analyst Trend Rider is anything to go by, then Cardano (ADA) might be set for a major uptrend. According to Trend Rider, the 25 to 200-day Exponential Moving Averages (EMAs) presented a bullish structure for ADA in the long term.

In his post, the analyst said that Cardano might repeat a move similar to the period when the price went from $0.11 to $3.

🚨 Get ready for liftoff: $ADA is gearing up for a major breakout!

When the most critical moving averages last transitioned from red to green, $ADA’s value soared from $0.11 to $3.00.

This alignment represents a long term trend and price structure bullish change .

EMA’s… pic.twitter.com/5StNgN4PFT

— Trend Rider (@TrendRidersTR) February 16, 2024

A Bullish Breakout May Be Coming

According to CoinMarketCap, ADA’s jump from $0.11 to $3 happened between December 2020 and September 2021, meaning it took about 10 months. Therefore, it might take another number of months for the bullish confluence to produce a similar outcome.

Coin Edition’s analysis of the ADA/USD daily chart suggested that positive market sentiment might drive the price toward $0.70. However, the short-term outlook indicated how bearish forces could prevent a break to $0.65.

At press time, ADA changed hands at $0.59. But there was a clear resistance at $0.60. If ADA attempts to flip the zone again, and it gets rejected, the price might decline to $0.55. However, a successful close above $0.60 might help the price retest $0.68.

Furthermore, Coin Edition confirmed that the 50 EMA (blue) had crossed above the 200 EMA (yellow). This position is termed a golden cross. In the long run, the position might help ADA’s price increase much higher as it is a testament to a bullish breakout pattern.

ADA/USD Daily Chart (Source: TradingView)

ADA Aims to Hit $1.18 First

If the optimism in the market prevails, ADA might add another 100% to its price within the next few months. If this is the case, the token value could hit $1.18. But if bearish sentiment dominates the market, ADAA’s price might stall or keep trading between $0.55 and $0.60.

For the time being, the Moving Average Convergence (MACD) showed that the bullish momentum might pause. Looking at the ADA/USD 4-hour chart, the MACD had dropped to the negative region.

Furthermore, the 12 and 26 EMAs were trending downwards, hinting at a bearish trend. Should the momentum continue to move southward, then ADA might drop to $0.54 where the 0.236 Fibonacci level was positioned.

ADA/USD 4-Hour Chart (Source: TradingView)

Another look at the Fibonacci retracement indicator showed that an upside might extend ADA’s gains. If buying pressure returns, ADA’s price might increase by another 13%. This means that the token might reach $0.68 where the 4.236 Fib level was.

Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

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