Cardano (ADA) Price Set for Major Rally, $1.50 Next?
ADA, the native token of the Cardano blockchain, is looking to continue its upward momentum after a sideways week. On November 29, 2024, ADA formed a bullish price action pattern on the smaller timeframe and was on the verge of a breakout.
This breakout could push the price of ADA to new highs and attract new investors.
ADA Price Trend, Breakout Is Coming?
According to expert technical analysis, ADA has formed a bullish inverted head and shoulders price action, signaling a potential breakout.
Cardano (ADA) Price Prediction
Based on recent price action and technical analysis, if ADA breaks out of the pattern’s neckline and closes with a four-hour candle above the $1.07 level, it has a good chance of surging 15% to $1.23 levels in the coming days, if momentum holds No change, and may even rise to $1.50.
On the positive side, fennel The relative strength index (RSI) suggests that altcoins have plenty of room to rise in the coming days. The four-hour time frame chart shows that ADA’s RSI is currently at 59, which is below the overbought zone of 70.
Bullish on-chain indicators
ADA’s bullish technical outlook has received further support from large holders and traders. According to on-chain analytics firm Coinglass, traders and investors are actively participating in altcoins.
Coinglass’ ADA spot inflow/outflow data shows that whales and investors have accumulated significant amounts of the token. Since November 17, 2024, ADA has experienced negative net flows, meaning whales and traders are constantly withdrawing the token from exchanges into wallets.
This negative net flow is a bullish sign for token holders and indicates that a price drop is less likely in the coming days.
Additionally, traders also appear bullish, as shown by the ADA long-short ratio. The Coinglass indicator is currently at 1.10, reflecting strong bullish sentiment among traders. Currently, 54% of top traders hold long positions and 46% hold short positions.
Combining these on-chain indicators with technical analysis suggests that bulls are currently dominating the asset, which could support the altcoin in an upcoming bull run.
Current Price Momentum
At press time, ADA was trading near $1.04, up 2.5% in the past 24 hours. During the same period, its trading volume dropped by 40%, indicating that trader and investor participation was lower than in previous days.
