Cardano ADA Surges: Eyes Set on $1 Milestone Amid Bullish Signals

Cardano ADA token has experienced a major price breakout, surging to $0.710 on Thursday for the first time since May 2022. This marks a pivotal moment for the ninth-largest cryptocurrency as it emerges from an extended period of low prices and consolidation encompassing the latter part of 2023 and the start of 2024.

With this significant price jump, ADA now has its sights on reclaiming the psychologically important $1 level, which it last reached in April 2022. The recent breakout has sparked predictions that Cardano’s ADA token is starting a new uptrend that could drive it to fresh all-time highs.

Crypto analyst Trend Rider conducted an in-depth technical analysis of ADA and issued an alert signaling the possibility of reaching a new all-time high imminently. Trend Rider pointed to a notable increase in ADA’s Trend Strength Indicator, which he says resembles the start of the epic rally that previously took Cardano’s token from $0.10 to $3.60. With Bitcoin also approaching its cycle peak, the analyst believes the stage is set for ADA to begin closing its gap and rally toward its previous high of $3.60.

In addition, Trend Rider highlights the recent bullish turn of ADA’s Moving Average Ribbon and Money Flow Oscillator after an extended 200-week bearish period. He says these macro market indicators underscore the overwhelmingly positive sentiment and momentum now surrounding ADA’s growth potential.

Cardano Bullish Momentum: Signals & Metrics Drive Surge

The analyst also stresses that ADA demonstrates the same type of bull run signals observed when the token traded around $0.10 before its momentous price explosion to $3. According to him, the shift in these key trend indicators from bearish or neutral readings to decisively bullish further cement the positive trajectory for ADA.

Complementing these optimistic technical signals, Cardano has also seen substantial growth in key network metrics over the past month, according to data from Token Terminal. ADA’s fully diluted market capitalization, which reflects its potential total value if all tokens were in circulation, has surged 27.4% over the past 30 days to reach $28.09 billion. Similarly, its circulating market capitalization is up 27.7% to $21.94 billion, showcasing the rapidly increasing value of available ADA tokens.

Additionally, despite a minor 4% decline in 30-day trading volume to $14.69 billion, ADA still demonstrates robust liquidity and investor interest. At the same time, fees incurred by ADA holders decreased by 9.7% over the past month to $396,780, suggesting improved cost efficiency within the Cardano ecosystem.

After reaching its recent high of $0.710 on Thursday, ADA has pulled back slightly and is currently trading around $0.682. However, zooming out to longer timeframes underscores the token’s significant gains, with ADA up 14%, 13%, and 30% over the past 7, 14, and 30 days respectively. With Cardano flashing bullish technical signals and improving network metrics, the stage is set for the ADA token to embark on a new parabolic advance to fresh all-time highs.

Source: CoinMarketCap

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Furthermore, the authorā€™s views are for reference only and shall not constitute investment advice. Before purchasing, please ensure you fully understand and assess the products and associated risks.

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