Is the 35% Surge in Cardano Just the Beginning? ADA Price Forecast

Cardano (ADA) has recently experienced a price surge exceeding 35%. This significant increase prompts the question: is this the start of a sustained rally, or merely a temporary spike?

Analyst Nick Regan offers insight into ADA's price movement, identifying crucial support and resistance levels that will determine the future trajectory of this rally. His analysis focuses on potential resistance points and interprets momentum based on chart patterns.

Recent price action has been robust, with technical indicators providing clues about ADA's potential future direction. However, the possibility of a pullback remains as traders assess risk.

Cardano Price Action and Key Support Levels

ADA has found reliable support at the 200-hour Exponential Moving Average (EMA). Regan notes the rally commenced after breaking through the 50-hour EMA, driving the price towards the 50-hour Simple Moving Average (SMA). The price peaked at $1.12 before retracing, leading analysts to closely monitor key support levels.

Support currently resides near the 50-hour EMA ($0.935), the Fibonacci 1.236 level ($0.923), and the 200-hour 4-hour EMA. Resistance is situated around $0.95, $1.00, and a stronger barrier in the $1.07–$1.09 range. A significant resistance zone is also identified at the $1.24 Fibonacci level. Regan emphasizes that maintaining these support levels could signal further upward momentum.

Technical indicators present mixed signals. The hourly stochastic RSI is in oversold territory, suggesting a potential rebound. Conversely, the MACD histogram shows a bullish crossover, reinforcing upward momentum. However, Regan highlights a slight bearish divergence on the 4-hour chart, prompting caution.

Short-term projections indicate a possible small bounce before another test of lower support at the 200-hour EMA. Sustained upward pressure above $1.24 remains possible if ADA stays above $0.92. Conversely, a break below $0.65 could trigger a more significant correction. At the time of writing, ADA is trading at $0.9307, down approximately 5% in the last day but up over 38% for the week.

Trading Strategy and ADA Price Prediction

Regan proposes a trading strategy with an entry point at $0.99396, a stop-loss at $0.8515, and a target between $1.07 and $1.09. This strategy offers a risk-to-reward ratio of 1.5:1. The broader market outlook suggests ADA is in an accumulation phase, consistent with previous market cycles.

For long-term investors, staking remains an attractive option. [Note: The recommendation to delegate ADA to a specific stake pool has been removed to avoid the appearance of endorsement.] Regan maintains a bullish long-term outlook for ADA, projecting targets between $4.65 and $9.25 in future market cycles.

Short-term expectations suggest a potential bounce followed by another pullback. Resistance levels remain at $1.07–$1.09 and $1.24. Long-term trends indicate further gains are possible, but risks persist. A break below $0.92 could trigger a deeper correction towards $0.65. Despite these risks, Regan remains optimistic about ADA's long-term growth potential.