While Cardano continues to trade in the red, an analyst sees a rebound ahead, citing a key target at $0.94.
The global crypto market capitalization currently stands at $3.26 trillion, marking a 3.4% decrease as top cryptocurrencies faced declines.
Specifically, Cardano mirrored the downward trend, experiencing a 2.67% price decline in the past 24 hours. Its seven-day performance also shows a 3.11% drop.
Key Targets for Cardano
Despite the recent decline, market analysts remain optimistic about Cardano’s price trajectory. One analyst on TradingView highlighted significant technical indicators pointing to a potential recovery.
According to the analysis, Cardano broke through resistance levels, establishing a new trading range.
The analyst noted that a perceived bearish RSI divergence was invalidated as the price maintained its upward momentum, reinforcing a bullish outlook. The report also pointed to Cardano’s price consolidating near the lower boundary of a parallel channel, suggesting a potential rebound.
If the structure holds, the price could target the $0.90–$0.94 range as the next resistance level. The analyst emphasized that ADA remains positioned for further gains as long as it respects the lower trendline. However, any failure to hold support at this level could shift the trend.
Divergence Despite Initial Bullish Momentum
Notably, Cardano’s price moved in line with the analyst’s projected trend by Monday evening. However, the asset later deviated from the anticipated direction, introducing uncertainty into its short-term outlook.
Meanwhile, a separate analysis from Tim Warren, a popular crypto analyst, suggested a more ambitious future for Cardano.
Warren projected that Cardano could surpass assets like Dogecoin and USD Coin, positioning itself as the sixth or seventh-largest crypto. He identified two major catalysts that could drive ADA’s value significantly higher.
The first was a strong bull market cycle, which historically propels leading cryptocurrencies to new highs. The second was the potential adoption of Cardano’s blockchain for U.S. government expenditure tracking.
Warren estimated that if such adoption materialized, ADA’s market capitalization could reach $250 billion, translating to a price target of $7 per unit.
Positive Market Sentiment
Cardano’s network activity also reflects increasing engagement. A report from IntoTheBlock highlighted a rise in daily active addresses.
The data showed notable increases over a seven-day period: new addresses grew by 4.79%, active addresses by 11.99%, and zero-balance addresses by 12.26%. These metrics indicate heightened user activity and suggest sustained interest in the Cardano network.
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.
