Cardano Holds $0.85 as Traders Await Breakout: Could September’s Rate Cut Spark a Run Toward $3?
Cardano (ADA) continues to hold firm at the $0.85 support level, despite recent volatility and mixed technical signals. The altcoin has been consolidating within a tight range, with traders closely watching...
Cardano (ADA) continues to hold firm at the $0.85 support level, despite recent volatility and mixed technical signals.
The altcoin has been consolidating within a tight range, with traders closely watching the $0.95 resistance zone. A breakout above this level could pave the way for ADA to retest $1, while failure to maintain support risks a deeper pullback toward $0.80.
Over the past week, ADA’s price has hovered between $0.82 and $0.87, reflecting cautious market sentiment.
ADA's price trends to the upside on the daily chart. Source: ADAUSD on Tradingview
Technical indicators remain split: the RSI sits at a neutral 52, leaving room for upward momentum, but the MACD shows bearish divergence, hinting at potential weakness. Analysts believe the next few trading sessions will determine whether ADA breaks higher or faces renewed selling pressure.
Analysts Split on ADA Price Outlook
Market experts are offering conflicting outlooks on ADA’s near-term trajectory. Some forecasts a short-term move toward $0.95, while others projects a more ambitious rally to $1.05–$1.10 by the end of August, provided volume increases.
On the other hand, bearish predictions warn of a potential slide to $0.50 if Cardano fails to defend its key support levels.
Institutional interest also remains a factor. The U.S. Securities and Exchange Commission (SEC) recently postponed its decision on Grayscale’s Cardano ETF until October 26, adding regulatory uncertainty.
Analysts argue that while an ETF approval could fuel institutional inflows, delays may weigh on investor confidence in the short term.
Could a September Rate Cut Ignite a Cardano Rally Toward $3?
Macroeconomic catalysts could play a decisive role in ADA’s next move. Speculation is mounting that the U.S. Federal Reserve will cut interest rates in September. Historically, rate cuts have provided a boost to risk assets, including cryptocurrencies.
Market reports suggest a potential Fed rate cut could help ADA reclaim the $1 mark and even fuel a rally toward $3, echoing its explosive 2020 run. With Cardano already up 4% in August, a favorable macro shift may accelerate bullish momentum.
If bulls defend the $0.85 support and break past $0.95 resistance, the path toward $1 and beyond could open. However, a failure to hold support risks a drop below $0.80, leaving traders on edge as September’s rate decision approaches.
Cover image from ChatGPT, ADAUSD chart from Tradingview
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