After a remarkable surge in December 2023, which sent Cardano (ADA) to over $0.66, the cryptocurrency has dropped since then and is currently trading at $0.5414, down 1.12% in the last 24 hours.
The digital asset could also be facing a lack of interest, as its 24-hour trading volume is down 35.4%. Cardano has failed to reclaim the $0.6 level since it dropped in early January, causing some concern in the community.
A Bright Future for Cardano (ADA)
This disappointing performance has drawn the attention of prominent crypto analyst Ali Martinez, who showed a potential path to $0.68 for ADA and identified the hurdle preventing it from rising. Ali is a well-respected analyst in the crypto space, and he recently predicted a surge to $8 for ADA.
He identified intense resistance zones at $0.54 and $0.56, highlighting data from IntoTheBlock in a chart that revealed these price points as significant acquisition zones for roughly 50,000 addresses holding a combined 2 billion ADA.
These previous investors, while currently underwater, might be inclined to sell their holdings for profit if the price approaches these resistance levels.
Such profit-taking could impede Cardano’s long-term upward trajectory. Ali projects that overcoming these resistance points could propel ADA as high as $0.68, a level not seen since October 2022.
#Cardano faces a formidable obstacle between $0.54 and $0.56, a zone where nearly 50,000 addresses hold approximately 2 billion $ADA. Overcoming this resistance could pave the way for a bullish move toward $0.68! pic.twitter.com/SZJuDe5UQg
— Ali (@ali_charts) February 11, 2024
Community Response and ADA’s Future
Cardano currently has huge support from its community, with one user appreciating Ali’s prediction for the cryptocurrency. Another user pointed out that Bitcoin would need to rise before ADA can see any surges. However, many cryptocurrencies have surged without Bitcoin before, and ADA could do the same if the circumstances are right.
However, there were some vocal detractors in the comments, with one user calling ADA “rubbish,” and another arguing that the cryptocurrency cannot do anything meaningful because of its large supply and alleged lack of use.
We are on twitter, follow us to connect with us :- @TimesTabloid1
— TimesTabloid (@TimesTabloid1) July 15, 2023
However, current market dynamics and internal resistance are roadblocks to ADA’s potential breakout. It is currently struggling with the $0.54 resistance, hovering around it for the last 24 hours.
A breakout could unlock the many bullish predictions for ADA in the market, sending it to mind-blowing price territories. With a potential surge on the horizon, this could be the perfect time to accumulate ADA.
Tobi Loba is a passionate writer with a vast interest in the stock market. She joined the crypto ecosystem about three years ago and has written lots of ebooks and articles in relation to cryptocurrency and blockchain projects. Tobi Loba earned her degree at the University of Ibadan.
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