Analyst Predicts Bullish Reversal for Cardano as Selling Pressure Fades

The Cardano native token, ADA, has regained momentum after a sharp correction earlier this week, with analysts anticipating a potential rebound.

ADA’s latest price action suggests that bears may be losing strength in the market, indicating a potential exhaustion of downtrend pressure as bullish indicators surface.

ADA Regains Momentum

TradingView crypto analyst “AltcoinPiooners” called attention to ADA’s current price movements, highlighting that buyers are slowly taking over. According to him, a mild ADA price rally may be on the way if key resistance is broken.

In the Wednesday update, the analyst revealed that ADA is currently testing the crucial $0.534 support level after a sharp decline earlier this week.

Notably, ADA reached as high as $0.60 on November 11, according to CoinGecko data. However, the token fell to $0.534 the next day before recovering to trade above $0.56 at press time.

Citing several technical indicators—such as the Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD), and the 100-day Exponential Moving Average (EMA)—AltcoinPiooners stated that ADA is likely to hold the $0.534–$0.54 support zone.

According to him, the formation of bullish hammer candlesticks at this support zone, combined with low sell volumes, signals that bears are losing dominance.

Analyst Eyes 8% ADA Rally

The ADA price currently sits at $0.564 at press time, with a modest 0.8% increase in the past 24 hours and a 5.7% gain in the past seven days.

This notable price growth can be attributed to the rising accumulation of the utility token by institutional investors. Specifically, Cardano whales accumulated 348 million ADA in four days as its price slipped below $ 0.50 last week.

According to AltcoinPioners, ADA could rally to $0.62 and then move on to smash $0.65 if buyers can break the crucial $0.6 resistance. The predicted rally from ADA’s present price to $0.65 marks a price increase of over 16%.

The analyst also warned that ADA risks falling to the next crucial support at $0.52 if the sellers regain momentum. However, he added that a deeper correction is unlikely, as several indicators and patterns suggest a bullish reversal.

Interestingly, the Dapp Analyst also shared a similar view for ADA. Citing the Cardano RSI reset and falling wedge pattern, he suggests that ADA could be in for a 97% surge.