ADA Might Be Gearing Up for a Massive 1000% Surge Against Bitcoin Based on Historic Chart
Cardano’s price today rose by more than 2.5% following the implementation of the much-anticipated Chang hard fork. Despite previous struggles to break out of the $0.30 price range, ADA is currently priced at $0.3263. However, investors who bought ADA a week ago are still dealing with losses of over 9.4%.
Noted ADA analyst Dan Gambardello has provided an optimistic outlook for ADA investors based on a promising technical formation. Gambardello highlighted a bullish divergence in the ADA/BTC trading pair, a pattern historically associated with significant price reversals. This analysis is reminiscent of a 2020 pattern that preceded ADA’s 1,000% surge against Bitcoin.
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A bullish divergence occurs when a cryptocurrency’s price registers lower lows while the relative strength index (RSI) or moving average convergence divergence (MACD) indicator shows higher lows. This suggests a potential downward momentum subsidence, signalling a looming upward reversal.
Overview of the Chart
Gambardello’s chart showcases a technical pattern analogous to one from 2020, where despite a declining price, ADA’s rising RSI indicated a shift in market strength, leading to a significant price increase.
Currently, ADA/BTC is valued at 0.00000573 BTC. If history repeats itself with a 1,000% rally, the price could increase by 11X to 0.00006303 BTC. A similar percentage growth in ADA’s dollar value would place the asset at $3.553, slightly surpassing its 2021 all-time high.
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Dr. Olajide Samuel juggles the demands of medical studies with a passion for cryptocurrency. A seasoned blogger, Olajide shares his vast global knowledge of the crypto space, offering insights to enthusiasts. Despite his busy schedule, his commitment to crypto remains strong, and he actively seeks ways to contribute to its future.
