The daily chart shows that the price of ADA presents strong technical indicators that could generate more gains in the coming days. The most significant technical indicator is that it formed a double bottom pattern at $0.5086, its lowest level in April and June of this year.
This pattern usually indicates that selling pressure below the double bottom has ceased. It is also characterized by a neckline, which in this case is located at $0.8630, its highest level in May.
The price of Cardano has also formed other bullish signals that could generate more gains this month. For example, the Relative Strength Index (RSI) has risen from last month's low of 29 to the current 56, its highest level since May 23. It has crossed the neutral point at 50, signaling that it is gaining momentum.
The two lines of the MACD indicator have formed a bullish crossover and are approaching crossing the zero line for the first time since May. Therefore, the most likely long-term forecast for the price of Cardano is bullish, with the short-term target at the neckline of the double bottom at $0.8630.
A crossover above that target will indicate greater bullish potential, possibly up to the double bottom target of $1.2, which is approximately 93% above the current level. A drop below the double bottom level of $0.50 will nullify the bullish outlook.