Cardano shows renewed growth through its 3.5% price increase to $0.7513 during the last 24 hours. The Cardano price surge can be attributed to increased community interest stemming from the Midnight airdrop and the $71 million investment for network growth. With multiple events converging, Cardano (ADA) is now in a zone where significant price shifts could take shape.
Analyst’s $4.00 ADA Call Gains Traction as Whales Complete Accumulation
Smith, a market analyst on X, highlights that ADA is developing a long term cup and handle pattern. The pattern started developing in 2022 and has approached its completion with resistance situated around $0.90 and $0.93. The analyst predicts that a breakout above this level may see a sudden upward rally that could also reach up to the $4.00 target.
Price has also remained tightly bound within the $0.60–$0.90 zone for over a year, allowing it to build a reliable base. This continued ‘sideways move’ has served to reduce the over-enthusiastic volatility and it has swept away any weaker hands.
When the price breaks above the neckline, the short-term traders might also jump on board, bringing more upward pressure. Such patterns tend to cause long-term runs when validated with both price and volume. Based on this structure, the current ADA price prediction points to a possible breakout if the $0.93 resistance is cleared with strong buying pressure.
On the daily timeframe chart, Cardano is building the right half of a rounded base after rebounding from $0.6943 support. The price is moving towards a crucial resistance zone of 0.85 to 0.93. This area corresponds to the neckline of the larger pattern and a critical region to monitor.
The Stochastic RSI offers a supporting view. The fast line has crossed above the signal line from deep in the oversold territory. This behavior often hints at early signs of a price move, especially when it occurs near structural support.
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As long as buyers continue to put pressure on, and volume picks up, then ADA may accumulate enough force to break through the neckline in the next few days. Otherwise, further sideways trading may prevent a breakout from happening and keeps the market in a wait-and-see situation.
Midnight Airdrop, $71M Upgrade, and On-Chain Metrics Support the Rally
Anticipation around Cardano’s Midnight airdrop continues to grow. The total number of tokens that will be distributed is 24 billion NIGHT tokens where 50% will go to ADA holders at 1ADA to 0.34 NIGHT conversion rate. It is one of the most highly anticipated token drops this year as more than one million wallets qualify to receive the drop.
Combined with the airdrop, Cardano community voted on a $71 million treasury fund that will be used to enhance the network. The allocation of this budget will be to undertake upgrades on transaction capacity, cross-chain compatibility, and developer infrastructure.
According to Santiment, the market data indicates rising market interest. The recovery of Open Interest to $215 million shows traders actively entering new positions or re-entering existing ones. Social dominance of ADA within online discussions has increased to 1.65% based on market data. Major upcoming events have attracted more investors to focus on this asset.
When both market activity and market visibility increase, markets tend to react swiftly. If ADA breaks above resistance during this phase, it may catch strong follow-through from traders and investors alike.
In summary, Cardano is nearing a major price area and that could determine its next step. A successful breakout above $0.93 could trigger a major price move which might reach $1.15 or extend to $4.00 over time. With community engagement rising, airdrop eligibility expanding, and funds allocated for upgrades, ADA now stands at the edge of a possible trend shift.
Frequently Asked Questions (FAQs)
ADA is trading at $0.7513, marking a 3.5% increase in the past 24 hours.
ADA is drawing interest due to the upcoming Midnight airdrop and a $71M network upgrade fund.
If ADA clears the $0.93 neckline, the chart pattern suggests a move toward $1.15 or possibly $4.00.
Coingape Staff
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