Cardano (ADA) is moving under bearish pressure and is eyeing a decline in its value with the overall market. ADA is currently moving inside a descending triangle pattern, which often leads to a bullish reversal. If a successful breakout occurs, then it will lead to a maximum profit zone around 0.24.
At the time of writing, ADA is trading at $0.8475 with a 24-hour trading volume of $1.72 billion and a market capitalization of $30.27 billion. The ADA price over the last 24 hours is down by 2.26%, and over the last week, it is also down by 5.15%, but it is showing high potential for the next major rally.
Cardano (ADA) eyes breakout with $2.47 in sight
The Cardano ADA token is still trading above a key support level around $0.51, a level that has become the line in the sand for bulls. As long as it holds, analysts think the overall bigger picture structure remains bullish, with the focus still building towards the bigger targets in the near term. This level is also a psychological anchor point for traders, reinforcing faith in ADA’s strength in pullbacks.
The next major test for ADA is in the area around the $1 level, where an important downtrend line has served to put a lid on previous rallies. Breaking out sharply above this level of resistance will not only suggest a return to momentum but could also act to trigger a more enduring bullish breakout.
Gathering momentum, ADA will then rise to $1.47, the first major upside target, and then to $1.79, and then to $2.47, from where a definite continuation of the recovery will be confirmed.
But the bullish forecast is only reliant on support from ADA. A decisive fall through $0.51 will put a lot of pressure on sentiment and weaken the current structure, prompting traders to re-evaluate the midterm course. If such a breakdown happens, ADA can face deeper retracements, erasing gains from earlier in the year and delaying a return to a higher level of resistance.
