Analyst Sees Explosive Move Ahead

Cardano (ADA) is once again drawing attention from traders, with some analysts pointing to striking similarities between its current price structure and the patterns seen in its previous bull cycle.

Well-known market commentator Ali highlighted that ADAs chart appears to be following the same setup as before, though this time the move is developing at a slower, more measured pace. According to him, this could mean ADA is sitting at the very start of a major breakout.

Despite this optimistic outlook, the short-term performance of ADA tells a different story. At press time, Cardano is trading at $0.73, reflecting a 3.82% drop in the last 24 hours and a 7.15% decline over the past week. Its market capitalization stands at $25.8 billion, ranking it as the 10th largest cryptocurrency. Trading activity remains strong, with $1.38 billion in volume exchanged over the last day.

The technical chart shared by Ali suggests ADA could be preparing for an upward surge similar to the rally that once carried it above $3.00. If history repeats itself, Cardanos next leg up might unfold over the coming months, with targets ranging between $2 and $5 based on Fibonacci retracements.

For long-term investors, the gradual build-up may be a positive signal. Unlike the sharp and volatile moves of past cycles, ADAs current consolidation could create a stronger base for sustainable growth. Still, the recent pullback shows that bears remain in control in the short term, and confirmation of a breakout will require ADA to reclaim key resistance levels above $1.00.

With the broader crypto market facing mixed signals and uncertainty around U.S. economic policy, ADAs next move could hinge on whether it can sustain buying momentum at these levels.

Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.