Renowned Cardano bull Dan Gambardello asserts that a bullish price reversal is imminent for ADA, driven by robust macro indicators.
While Cardano (ADA) has returned to the $0.4 range following a 16% weekly gain. However, some analysts contest that ADA remains one of the least favorable coins to hold, experiencing an 8% decline in its monthly price performance. A recent report by The Crypto Basic reveals that ADA is the biggest loser among the top ten most prominent crypto assets in their year-to-date performance.
Despite this, renowned market watchers like Dan Gambardello remain optimistic. In his latest analysis, Gambardello asserted that a bullish price reversal is on the horizon for ADA, supported by strong macro signals.
CARDANO Price Reversal On The Horizon!
Intro 00:00
ADA/BTC 00:30
Cardano timeline reminder 1:20
ADA vs. BTC macro reversal 2:30
Cardano weekly momentum 9:00
Cardano price daily caution 10:00 pic.twitter.com/SW1HIRolVK— Dan Gambardello (@cryptorecruitr) July 11, 2024
Gambardello first acknowledged ADA’s underperformance and the criticism it has faced. However, he countered by noting that, based on historical trends, there is nothing fundamentally wrong with Cardano.
He pointed out that ADA is currently 86% below its all-time high (ATH), similar to the 2020/2021 cycle when it was 91% below its ATH 85 days after the Bitcoin halving. He believes this context is crucial in understanding the potential timeline for Cardano’s bull rally.
Cardano Historical Charts Show Bullish Signal on Long-term
Weighing in on ADA’s potential long-term trajectory, Gambardello explored technical indicators such as the Relative Strength Index (RSI), Stochastic RSI, and MACD, all suggesting that ADA is due for a reversal.
Specifically, the RSI indicators signal that ADA is oversold and poised for a bounce. Historical analysis of these indicators suggests a similar pattern played out before ADA’s bullish rally in 2021 to an ATH.
On the MACD indicator, Gambardello observes a cross similar to January 2021, which preceded a massive 1,100% rally in the ADA/BTC chart.
Besides the historical alignment of these setups, the analyst emphasized that the patterns appear to be occurring much sooner than they did in the previous cycle post-Bitcoin halving.
As a result, Gambardello expressed increased confidence that Cardano is showing robust bullish signals based on the ADA/BTC chart.
Gambardello advised patience regarding how soon the bullish reversal could occur. Yet, he hinted it could start once the anticipated drop in Bitcoin dominance occurs. He underscored the importance of patience as historical trends align.
Cardano Piosed for Short-term Reversal
In the short term, Gambardello noted that technical indicators on the weekly ADA/USD chart also align with the ADA/BTC chart, with the Stochastic RSI showing oversold conditions for months. He suggested that a short-term pump could emerge for ADA soon on the weekly chart.
While the analyst did not issue specific targets for ADA enthusiasts to watch for in his latest analysis, he previously suggested that Cardano could reclaim the much-awaited $1 psychological price point by August, which is next month.
At press time, Cardano trades at $0.4059, having advanced by 1.5% in the last 24 hours.
DisClamier: 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 opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
