Cardano’s ADA Flashes Bullish Signal—Can It Punch Through $1?
Traders are circling Cardano (ADA) like sharks after a technical pattern hints at a potential breakout. The 4-hour chart shows a classic bullish formation—just as the crypto market starts licking its lips over altcoin season.
While the ’smart money’ pretends to analyze fundamentals, price action tells the real story. ADA’s flirtation with $1 looks more plausible now than during last year’s hype cycle—back when every influencer swore it was ’undervalued’ at $3.
Will this time be different? The chart says maybe. Your overleveraged futures position says pray.
- Cardao trades near $0.73, forming an ascending triangle with resistance between $0.74 and $0.76.
- Analysts see breakout potential toward $0.81, $0.88, and $0.996 if resistance breaks.
- Ethereum testing trend line could trigger altcoin rally; ADA may benefit if momentum builds.
Cardano (ADA) is drawing attention as traders prepare for a possible move toward $1. In a May 25 X post, crypto analyst WHALES_CRYPTOzz points out an ascending triangle forming on the ADA’s 4-hour chart. Price action shows a series of higher lows, while the resistance zone between $0.74 and $0.76 has held firm across several tests. This pattern now edges toward its apex, suggesting a potential breakout soon.
ADA is currently priced NEAR $0.73, hovering just beneath the horizontal resistance zone. Trading volume remains relatively flat throughout the pattern’s formation.The 50-period moving average (MA 50) is also visible and has recently flattened out, reflecting a balanced short-term trend during this phase of compression.
Analyst projects that if ADA breaches the current resistance barrier, potentially pushing ADA toward the $0.81 mark, with further upside targets near $0.88 and $0.996. Crypto analyst WHALES_CRYPTOzz noted, “A breakout above the horizontal resistance could push $ADA towards $1.”
However, downside risks remain. If the price fails to break out and slips below the ascending trendline near $0.69, Cardano may revisit the support zone between $0.64 and $0.59.
Altcoin Rally Could Lift Cardano
Dan Gambardello, another analyst, compared ADA’s current trend to its past performance. He said earlier cycles had a quick breakout after one dip. But this time, the coin shows repeated phases of rise and consolidation, which may lead to a more stable rally.
He called this a “coiling” effect that could unleash strong gains if momentum builds. Gambardello also referred to Ethereum’s current position. ETH is testing a long-term trend line. If ethereum breaks out, it could set off movement across the altcoin market.
That WOULD include ADA, which has already spent time building a technical base. The possibility of a coordinated altcoin rally could push ADA above key resistance, provided overall market strength supports the move.
Cardano Development and Demand Stay Strong
Additionally, Messari’s Q1 2025 report showed cardano faced several setbacks. ADA’s price loss dragged down its circulating market cap. Despite market pressure, governance developments progressed, with the Plomin Hard Fork marking a major technical milestone for the network.
Price volatility weighed on overall sentiment, yet staking levels remained mostly steady, showing only a 1% drop to 21.6 billion ADA. Meanwhile, stablecoin markets on Cardano expanded by 30%, reaching $30.1 million, driven by increased demand for fiat-backed assets such as USDM, IUSD, and USDA.
Cardano’s treasury balance ROSE 5% to 1.7 billion ADA, though its dollar value dropped 19% to $1.1 billion. Combined with firm staking support and structural improvements, recent data points to long-term resilience despite ongoing financial strain.
Read More | Bitcoin Powers Ahead as Kiyosaki Warns Against Fiat Savings
