Cardano (ADA) bull Dan Gambardello has pointed at some key technical indicators that prove the cryptocurrency is billed for a massive rally.
The analyst, known for his bullish targets for Cardano, said the digital currency is “pounding on the bull market doors,” implying an imminent rally is just around the corner. He explained that the bull market doors seen in Bitcoin charts are Fibonacci Retracement levels marked by a bull market high and a bear market low, leaving a defined retracement area.
Using the Fibonacci indicator, Gambardello pointed out that identifying the bull market doors for Cardano becomes difficult as this metric means the coin will have to soar as high as 700% to 1000% from its current level to hit the lower highs.
Cardano Bull Market Door Indicators
To accurately determine this bull market door that Gambardello described as a “big deal” for a subsequent rally, a key indicator to deploy is the Change of Character (ChoCh). Per his explanation, ChoCh is formed when the price breaks a prior swing low during an uptrend.
According to him, an asset displaying ChoCh is the first stage that forms in pursuit of the bull market doors. Secondly, he mentioned the “Change of Structure” setup that forms when a price breaks a previous swing high during an uptrend. The Change of Structure setup is the direct opposite of the ChoCh indicator.
CARDANO Pounding On BULL MARKET Doors! (WATCH OUT!)
Intro 00:00
What are bull market doors? 00:20
LOWER HIGH (correction) 00:35
Careful of resistance/pullback in short term 3:00
Step 1 of Cardano bull market doors 5:20
Step 2 of bull market does 6:00
New cycle uptrend for… pic.twitter.com/0JcHkUrjhW— Dan Gambardello (@cryptorecruitr) December 19, 2023
Additionally, he talked about “Signals and Overlays” being the precursor to the bull market doors that have just been triggered on the weekly chart. While the timeline for these trends and the ultimate push to new highs might be marked by consolidations along the way, Gambardello implied that keeping an eye on these trends might be a strategic play for long-term ADA traders.
Per earlier reports, Gamberdello foresees Cardano hitting a price mark of $11 next year, and these indicators just confirm the likelihood.
Cardano’s Attractive and Investor Caution
Of the top layer-1 blockchain protocols around today, Cardano has a very impressive luster that might favor all traders in the long run. With new DApps and innovations ranging from stablecoins to AI chatbot Girolamo, Cardano’s potential as a gateway to bridge the gap between blockchain and the financial ecosystem is being showcased the more.
While this might boost the demand for Cardano in the long term, it can also usher in fraudsters in the ecosystem, and traders will need to watch out for these and exhibit proper risk management strategies.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
-Advertisement-
