ADA dips below 50-day MA again; historical pattern suggests a bounce toward $1 may follow.
Trading volume jumps 69% as ADA forms higher lows near $0.58, signaling bullish structure.
Cardano nears wedge support; a strong rebound could push price toward the $2.40 long-term target.
Cardano (ADA) is currently trading at $0.5857 and is showing signs of forming a bullish structure after dipping below the 50-day moving average. According to multiple analysts, previous dips under this technical line have resulted in strong recoveries, and a similar bounce could now launch ADA into the next phase of its bull cycle, with a possible target around $1.
Technical Structure Aligns With Bullish Reversal Potential
According to an observation by SSSebi, ADA has historically rallied strongly after dropping below the 50-day moving average. The current chart suggests this setup may be repeating. ADA is forming higher lows and has printed a potential double bottom near $0.58.
https://twitter.com/Av_Sebastian/status/1935721988015763782
A break above $0.64–$0.66 could open a path toward $0.75 and $0.82. Market watcher CRYART highlighted this pattern, showing that ADA is compressing near key resistance with improving structure.
ADA’s triangle pattern, where price is building near a breakout point. Volume spikes and on-chain activity could confirm the bullish move if buyers reclaim key zones.
On-Chain Metrics and Volume Support Price Strength
ADA’s on-chain data supports the current trend. According to data shared by TapTools, Cardano now has over 4.49 million holders, surpassing USDC. This increase in long-term holders signals stronger investor confidence.
Trading volume also jumped significantly. Cardanians reported a 69% increase in 24-hour trading activity, bringing volume to $738 million. At the same time, analyst Joao Wedson noted that Cardano’s Buy/Sell Pressure Delta has flipped into the buy zone, showing increased buying strength.
According to analysis prepared by Bitcoinsensus, ADA remains inside an ascending broadening wedge, and the token is now retesting the lower boundary. A successful bounce from this zone could push ADA to a long-term target near $2.40.
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