Cardano Surpasses 8-Month High; Is ADA Targeting $1.24 Next?

Cardano (ADA) has broken free from its recent downtrend, soaring by 165.31% to reach a peak of $0.849, its highest price in over eight months. This rally follows a decisive breakout from a prolonged descending channel, signaling a marked shift in market sentiment. The breakout has further unleashed bullish momentum, propelling the token beyond critical resistance levels and sparking speculation about its next possible targets.

Technical analysis indicates ADA could target $1.24 as its next major resistance. Fueled by heightened market participation and strong bullish sentiment, this rally provides a solid foundation for further gains. With the August low of $0.276 serving as strong support, the breakout momentum aligns with historical patterns, where the token tends to target psychological levels once key resistances are cleared.

If the rally continues, the $1.24 mark, representing a retracement from previous highs, could come into play, particularly if broader market conditions remain favorable. Despite the optimism, traders should be mindful of possible consolidation near current levels before another upward move.

As of press time, the ADA cryptocurrency trades at $0.8048, reflecting an 8.03% increase over the last 24 hours. Moreover, its trading volume has surged to $3.75 billion, a 153.51% spike, indicating robust buying activity. With a market capitalization of $28.20 billion, ADA firmly holds its position among the top 10 cryptocurrencies. This positive outlook highlights sustained investor confidence as Cardano cements its breakout with a strong push toward new heights.

ADA’s Technical Indicators Hint at Sustained Bullish Momentum

From a technical standpoint, ADA’s indicators strongly point toward sustained bullish momentum in the near term. The DMI, for instance, showcases an advantage for buyers, with the DI+ at 38.61 sharply outpacing the DI- at 10.07, confirming strong buying pressure in the market. Additionally, the ADX, at 24.68, is well above the critical threshold of 20, signaling a well-established uptrend that is likely to persist.

Meanwhile, the RSI at 76.03 reflects overbought conditions, but it also reflects the intensity of the upward momentum. The ADA token has historically shown resilience in maintaining rallies despite temporary corrections in similar overbought territories. If the current momentum continues, the cryptocurrency could push toward the anticipated $1.24 threshold in the near future.

Is ADA Targeting $1.24 Next?

Cardano shows strong bullish potential, with analysts projecting a rise toward $1.50. One such analyst, CryptoBull_360, emphasizes that ADA’s breakout from a descending triangle pattern and bullish trajectory increase the likelihood of upward movement. This technical breakout aligns with the strong accumulation activity seen over the past month.

#ADA is gearing up for a significant rise. The trend suggests a potential short-term target of $1.5. Keep a close watch on its movements.$ADA #ADAUSDT #Cardano pic.twitter.com/DGvZ3Qx47s

— CryptoBull_360 (@CryptoBull_360) November 20, 2024

According to CryptoBull’s chart analysis, ADA’s volume profile reveals interest in the $0.75–$0.85 range, which may act as a consolidation zone before the next upward leg. Should the altcoin surpass the $1.00 barrier, the path to $1.24—and possibly $1.50 as projected—appears increasingly viable, provided broader market conditions remain supportive. However, if a pullback occurs, ADA could find support near $0.643 and $0.416, offering strong base levels for a rebound.

Further analysis by Ali highlights that ADA whales—wallets holding over $10 million worth of the token—have increased their positions by 145.72%. Additionally, large holders with balances between $1 million and $10 million have boosted their holdings by 82.97%, reflecting robust institutional confidence in the cryptocurrency’s future. This aggressive accumulation by high-value investors underscores the solid underlying demand driving ADA’s rally.

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