- Cardano’s breakout from $0.42 to $1.32 highlights strong momentum, despite short-term corrections below the MA50.
- ADA’s Fibonacci targets suggest potential highs of $2.70, $5.28, and $7.47 if bullish momentum persists.
- Historical patterns show ADA rallies after accumulation phases; $0.82 and $0.89 are key support levels to watch.
Cardano (ADA) is trading at $0.8679 on December 26, 2024, a 3.67% dip in the past 24 hours. Over the past week, ADA has dropped by 10.81% and 7.71% in the past month.
ADA has gained by 44.44% over the year despite the dips. Analyst Javon shows ADA’s historical patterns and potential, noting the cryptocurrency’s past breakouts and possible future targets.
Key Levels in ADA’s Performance
Between June and early November 2024, ADA remained in a prolonged consolidation phase, trading between $0.29 and $0.42 with low volatility.
During this period, the MA50 and the MA200 converged, suggesting limited momentum. However, in November, ADA saw a breakout above $0.42, rallying sharply to a peak of $1.32 in mid-December.
Late December, ADA has corrected to $0.82, dropping below the MA50 but staying above the MA200, which is currently at $0.89. This shows that while short-term momentum has weakened, the long-term bullish trend remains intact.
Support is at $0.82 and $0.89 and resistance at $1.05 and $1.32. As per Santiment, ADA’s movement below the MA50 signals reduced short-term momentum, but the upward move of the MA200 indicates sustained long-term strength.
Short-Term Levels and Indicators
On a 4-hour timeframe, ADA has declined by 1.53%. Prices are close to $0.8830, a critical support level, with immediate resistance at $0.9000. A breakout above this resistance could push ADA toward the $0.950-$1.00 range.
Volume shows subdued market activity, currently at 19.54 million. A substantial volume increase is necessary to establish a clear direction. Meanwhile, the RSI at 42.90 points to bearish sentiment, trending toward oversold levels.
If the RSI crosses above 50, it could lead to a recovery. The MACD line slightly below the signal line suggests bearish momentum, though the weakening histogram indicates reduced selling pressure.
Historical Patterns and Potential Future Targets
ADA’s historical performance shows similarities with prior breakout phases. Javon notes similarities between its 2020 rally, where ADA surged 2,233%, and its 2023 recovery from $0.24 to over $1.00.
Fibonacci projections point to potential targets at $2.70, $5.28, and $7.47, dependent on ADA sustaining its current movement. Previous accumulation phases, such as the 2018-2019 and 2022-2023 ranges, preceded rallies.
Javon predicts that ADA could replicate these patterns, targeting higher levels as long as key support holds. Breaking above $1.20 could validate the continuation of its broader upward trend.
