Markets
ADA eyes $0.68 as Bitcoin rally signals broader market strength
Cardano Price Analysis: The crypto market started the new week on a bullish note, following the lead of leading digital assets Bitcoin and Ethereum. With BTC price reaching $70,000 and ETH poised to surpass the $4,000 mark, the majority of major altcoins, including Cardano, have seen a surge in buying interest. At the time of going to press, the ADA the price is up 3.5% and shows a reversal from the recent correction to break overhead resistance.
Read also: Solana (SOL) vs. Cardano (ADA): how the “ETH Killers” performed this week
Cardano targets breakout as ADA nears key resistance level
Cardano Price Analysis | Commercial view
Over the past six weeks, the Cardano Price is trading sideways, resonating within two converging trendlines. The altcoin has bounced twice from each trendline, indicating active resistance and support that is gradually narrowing the price range.
The symmetrical triangle is known to lead consolidation in order to reclaim exhausted momentum from the dominant trend. ADA price is currently trading at $0.47 and heading towards the upper boundary of the triangle for a bullish breakout.
Additionally, crypto analytics firm Santiment highlighted that Bitcoin has once again surpassed a market value of $70,000. 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 #MemorialDay put us #actions markets on pause. This rise is particularly encouraging, as the positive movement reveals just how much #crypto markets can operate on the rare days of the week when they do not depend on… pic.twitter.com/CjhvTKaBF5
–Santiment (@santimentfeed) May 27, 2024
Santiment noted that this positive movement is particularly encouraging because it demonstrates the ability of the cryptocurrency market to operate independently of traditional stock markets, a correlation it has maintained since 2022. This development highlights the growing resilience and potential of the cryptocurrency market. cryptocurrencies to thrive even in the absence of conventional market influences.
If overall market sentiment remains bullish, ADA price will likely move above the overhead trendline to release the pent-up bullish momentum. The post-breakout rally could push the asset to $0.624, followed by $0.68.
However, if supply pressure at the overhead trendline persists, Cardano price could extend its current consolidation for the next week or two.
Technical indicator:
- Relative Strength Index: THE ROI the wavering slope at 50% projects a neutral sentiment among market participants.
- Exponential moving average: The 100 and 200 days EMA the slope oscillating around the $0.5 to $0.52 mark creates a high supply zone for traders.
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