Analyst: Cardano Consolidation Before $5 Breakout

Cardano (ADA) has witnessed a volatile week in its price trajectory, oscillating between highs and lows.

After reaching a new multi-month peak early on, the token plunged by over 18% just days later, echoing the broader bearish sentiment prevailing in the cryptocurrency market.

Amidst this volatility, Ali Martinez, a prominent crypto analyst on the X platform, has emerged with an intriguing forecast for Cardano’s price in the upcoming months. This latest analysis suggests that the recent downturn in price may be short-lived, hinting at a bullish outlook ahead.

So far, #Cardano resembles the pattern observed from 2018 to 2021.

Should this fractal continue, anticipate $ADA to consolidate in the $0.55 to $0.80 range in the coming weeks, followed by a surge to $1.70. After this upswing, expect a period of further consolidation, setting… pic.twitter.com/46LIp2hkMx

— Ali (@ali_charts) March 16, 2024

Martinez pointed out similarities between how prices are moving now and trends from 2018 to 2021.

Cardano Potential 700% Surge

He saw on the weekly chart that ADA had just broken out of a consolidation zone that looked much like the one between 2018 and 2020. Martinez predicts that the price will soon increase since the token has already tested the high limit of this range.

Martinez expects Cardano’s price to stay flat for a while, ranging between $0.55 and $0.80 in the coming weeks. After that, he forecasts it will quickly rise to $1.70. The expert also thinks prices might stay flat longer after this rise, making it easier for Cardano to break out to $5.

This prediction means that the price of ADA will rise by almost 700% from where it is now. According to the chart study, the Cardano bull run will likely happen over the next few months.

As of the latest update, Cardano is valued at $0.6778, indicating a significant 4.3% decline in the past 24 hours. ADA has recently been subject to substantial bearish pressure, similar to much of the cryptocurrency market.