Cardano's price is poised to reach $1.46 following the departure of over $20 million worth of ADA tokens from exchanges in the past week, indicating a potential supply shortage.
The price of Cardano is poised for a significant upward movement due to an impending supply shortage,
following the withdrawal of over $20 million worth of ADA tokens from exchanges in the past week.
Analysts predict that Cardano may experience a 100% increase, potentially reaching $1.46 in the upcoming months.
The current ADA value is $0.71, reflecting a decrease of 1.3%. According to data from CoinMarketCap, Cardano's trading volumes have exceeded $902 million, indicating significant market interest.
Cardano Price Eyes Rally as $20M ADA Exits Exchanges
The price of Cardano is poised for a significant surge following the recent withdrawal of over $20 million in ADA tokens from exchanges.
According to data from Coinglass, in the past week, traders have been transferring ADA from major exchanges such as Binance and OKX, indicating a diminished willingness to sell.
As withdrawals from exchanges increase, leading to a decrease in market supply, this may result in a situation where heightened demand drives the price of Cardano upward.
Consequently, it is plausible that this prominent altcoin could reach as high as $1 in the near future.
Trader Justin Qu on X has also provided an optimistic forecast for Cardano's price, indicating that this altcoin is poised to surge to new multi-month highs.
In his assessment, Justin noted that ADA has emerged from a descending wedge pattern on the daily chart, which is a traditional indicator of an impending bull market.
Should ADA maintain its support at the upper trendline of this wedge pattern, it could initiate a significant rally towards the initial resistance level at $1.24. A breakthrough at this level would pave the way for a rise to $1.46.
Consequently, due to the increasing withdrawals from cryptocurrency exchanges and the optimistic predictions made by analysts regarding Cardano, this altcoin appears to be poised for a significant bullish breakout.
Cardano Blockchain Activity Soars
In addition to the favorable exchange data and technical analysis, blockchain activity indicates that the price of Cardano may be poised for a significant increase.
According to data from DeFiLlama, Cardano's Total Value Locked (TVL) has surged to $442 million, representing the highest level in almost a month.
Furthermore, another network metric that has shown improvement is the DEX volumes, which currently amount to $3.87 million, reflecting a notable rise over the past 24 hours.
With the ongoing increase in network activity, it is plausible that the price of Cardano could reach the $1.46 target indicated by analysts.
However, for this price to be achieved, this altcoin must experience a significant rise in buying pressure, which may occur alongside the continued growth in network activity.
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