Could Cardano’s Past Spark A 1000% Rally?

Cardano’s native token ADA is gaining massive traction as it is poised for a potential bull run. The recent price movement of ADA breaking through a substantial resistance level is seen as a strong signal of potential upward momentum. Some crypto analysts are predicting that ADA could surge to $5 or even higher.

Besides the breakout of a key resistance level, ADA’s other factors such as hidden bullish divergences contributed to the bullish thesis. Throughout ADA’s price decline, multiple hidden bullish divergences were spotted suggesting that the pullback may be temporary.

For those new, divergences occur when the price makes lower lows, but technical metrics [such as the Relative Strength Index or RSI] make higher lows. This pattern typically indicates a weakening downward trend and an imminent trend reversal.

But when also connecting “dots” from the past and its previous breakout + run, we can see that Cardano may be headed for much higher than this $2.7709 target level. With ADA’s previous Logarithmic breakout resulting in a price run above 3 different targets, prices, by historical data, may be preparing here to do the same, and levels like $5.296201, and $7.821502 could be reached in a more than 11X or 1,000% run from here!

Additionally, historical data showed that Cardano posted a significant price increase and surpassed multiple targets, following a logarithmic breakout. The analyst remains optimistic that a similar pattern could unfold this time.

Cardano’s Transaction Volume Soars

Based on these factors, the analyst is projecting a potential price target of $2.7709 for ADA, representing an over 552% upside from current levels. However, the analyst also suggests that ADA could potentially reach even higher levels, with targets of $5.296201 and $7.821502 as potential price targets.

Fuelling the bullish case is the recent recent surge in trading volume. As per CoinGlass data, ADA recorded a 32% increase in derivative volume reaching a turnover of $457.71 million. It also registered a 20% uptick in spot markets, bringing the total trading volume to over $800 million.

It’s important to note that the cryptocurrency market is highly volatile. Investors should conduct their research and consider consulting with a financial advisor before making any investment decisions.