Analyst Predicts Cardano Could Reach $5 to $15 Amid Multi-Year Bullish Potential
Analyst AugustusAsir has pointed out that Cardano (ADA) is forming a significant multi-year bullish pennant, suggesting the potential for a major price surge. The monthly chart confirms that ADA has been trading within a symmetrical triangle setup since reaching an all-time high of $3.1 in September 2021.
The subsequent correction led to a consolidation phase, forming the symmetrical triangle pattern within a broader bullish pennant structure as noted by AugustusAsir. This indicates a period of consolidation before a potential upsurge, with an initial target set at $3.10 and another flagpole suggesting a price range of $5 to $15.
Various indicators support this optimistic scenario, including increasing trading volume, RSI and MACD signaling bullish momentum, and a recent spike in DeFi trading volume. Additionally, there is strong support at $0.1679 and significant resistance at $1.7600, both of which will play crucial roles in determining ADA’s price trajectory.
Another Analyst Stance
In a separate analysis, analyst CobraVanguard identified a falling wedge pattern, indicating a bullish reversal. The breakout from this pattern has already occurred, with ADA’s price rising to $0.4270, suggesting the start of a potential rally. The daily chart shows immediate resistance at $0.5, with support levels at $0.38 and $0.29 providing a safety net for any short-term price corrections.
Both the MACD and RSI indicators on the daily chart reveal bullish divergence, aligning with a positive market outlook. CobraVanguard concluded that Cardano’s breakout from the falling wedge pattern is a strong indicator of potential price appreciation.
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Kayode Michael is a seasoned cryptocurrency analyst, successful trader, and skilled writer with a strong command of cryptocurrency analysis and price action. He leverages his technical analysis skills to provide valuable insights into emerging market trends and potential opportunities for investors to make informed decisions.
