Markets
ADA targets $0.68 as Bitcoin rally signals broader market strength
Cardano Price Analysis: Crypto Market Started the New Week on a Bullish Note Following the Lead of Major Digital Assets Bitcoin and Ethereum. With the price of BTC reaching $70,000 and ETH poised to cross the $4,000 mark, most major altcoins, including Cardano, have seen renewed buying interest. At press time, the ADA the price increased by 3.5% and shows a reversal from the recent correction to break the general resistance.
Read also: Solana (SOL) vs Cardano (ADA): How the “ETH Killers” fared this week
Cardano targets breakout as ADA approaches key resistance level
Cardano Price Analysis | Tradingview
In the last six weeks, the Cardano price it traded sideways resonating within two converging trend lines. The altcoin bounced twice from each trend line, indicating active resistance and support gradually narrowing the price range.
The symmetrical triangle is known to lead a consolidation to regain the exhausted momentum for the prevailing trend. ADA price is currently trading at $0.47 and is heading towards the upper limit of the triangle for a bullish breakout.
Furthermore, crypto analytics firm Santiment pointed out that Bitcoin has once again surpassed the $70,000 market value. This milestone coincides with a pause in U.S. stock markets due to Memorial Day.
📈🇺🇸😴 #Bitcoin once again eclipsed a market value of $70,000, while #Memorial Day put the United States #actions markets on pause. This climb is particularly encouraging, as the positive movement reveals how #crypto markets can perform on the rare weekdays when they do not depend on… pic.twitter.com/CjhvTKaBF5
— Santiment (@santimentfeed) May 27, 2024
Santiment noted that this positive movement is particularly encouraging as it demonstrates the cryptocurrency market’s ability to function independently of traditional stock markets, a correlation it has maintained since 2022. This development highlights the cryptocurrency market’s growing resilience and potential to thrive even in the absence of conventional market influences.
If the broader market sentiment remains bullish, ADA price is likely to break out of the overall trend line to release the accumulated bullish momentum. The post-breakout rally could push the asset to $0.624, followed by $0.68.
However, if the supply pressure on the trend line persists, Cardano price could extend its current consolidation for the next two weeks.
Technical indicator:
- Relative Strength Index: THE CSR the slope swing at the 50% level projects a neutral sentiment among market participants.
- Exponential Moving Average: The 100 and 200 days EMA The swing in the slope around the $0.5-$0.52 mark creates a high supply zone for traders.
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