While the recent Cardano performance has been discouraging, analyst Ali Martinez has found reasons to believe “a Monster Parabolic Rally” is imminent.
Martinez shared this perspective in a tweet on Wednesday, highlighting Cardano’s historical trends. According to him, if past data holds any weight, ADA might be on the verge of a historic breakout toward a new all-time high.
This bold claim comes at a time when sentiment around Cardano is waning, as the token has tanked by 21% over the past week.
It looks even worse when considering its monthly chart, which shows a 33% loss for holders who bought ADA when it traded above $1.1. However, using historical data, Martinez seeks to offer hope to ADA holders.
Promising Insight from Cardano History
The chart accompanying the tweet draws parallels between ADA’s current price structure and its 2021 breakout. Notably, the structure preceded a multi-thousand percent surge for ADA.
The image highlights a consolidation phase where ADA fluctuated within a defined range before breaking out into a parabolic rally. An arrow marks this critical breakout point from the past, and a similar shaded region suggests that history may be repeating itself.
If so, ADA could be at the very beginning of another explosive uptrend. Meanwhile, the chart suggests Cardano could retest lows around the $0.5 mark before the breakout to an all-time high.
This outlook is further reinforced by Martinez’s commentary, who noted that “there’s still time to prepare.” Upon the eventual breakout, ADA could be looking at a peak in the double-digit range.
How High Will ADA Reach?
Currently, ADA trades at around $0.7563, with immediate resistance near $0.90. Should it break past this level, the grayscale price projection on the chart hints at a surge well beyond previous highs, possibly to $15.
This outlook took inspiration from the trajectory ADA followed from around $0.085 to its peak at $3.10. Specifically, this marked a 3,547% price gain from the breakout point.
In the present case, should ADA retest the $0.5 low, rallying to $15 would represent a massive 2,900% upside for steadfast holders.
Legendary Trader Peter Brandt Agrees
Notably, Martinez is not the only market watcher with a bold outlook for Cardano. Legendary trader Peter Brandt has previously stated that ADA was set for what he calls “a grand bull run,” citing that the coin has ended its bearish phase.
Sharing a similar sentiment, analyst Dan Gambardello forecasts that Cardano could hit a $500 billion market cap, which would elevate the ADA price to $14.
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.
