TLDR
- Cardano formed a golden cross on the 9 and 21 MA weekly chart.
- Price broke the resistance trendline held since December 2024.
- The last golden cross on ADA resulted in a 236 per cent rally.
- Current resistance stands near $1.15 as the next major target.
Cardano price has recently made significant technical progress, capturing the attention of investors and analysts. After breaking past a long-held resistance level, the cryptocurrency is now poised for potential price growth. This move has been further validated by the formation of a golden cross, a strong bullish indicator in technical analysis.
Cardano Price Breaking Through Resistance
Cardano price action has made impressive gains, notably breaking past the resistance level that had held since December 2024. This resistance, marked by a downward-sloping trendline, had prevented $ADA from rising further.
However, recent price movements suggest a shift in market sentiment as Cardano surges past this barrier. The breakthrough indicates the possibility of entering a new phase of upward momentum.
The token has found support around $0.70, with the resistance zone now at approximately $0.95. The cryptocurrency may face challenges in pushing higher, but strong bullish sentiment is surrounding its ecosystem. If this momentum continues, the next resistance level at $0.95 may soon be tested.
Formation of the Golden Cross: A Bullish Signal
Furthermore, a key technical development for Cardano price is the formation of a golden cross. This occurs when a short-term moving average (9-period MA) crosses above a long-term moving average (21-period MA). Historically, this pattern has signaled strong upward price movement. In fact, the last time the crypto saw a golden cross, the price surged by 236%
- ADA/TetherUS 1W Chart | Source: X.
The golden cross aligns short-term momentum with long-term trends, reinforcing the bullish outlook. If Cardano price follows the same trajectory as previous golden crosses, substantial gains could follow. Investors are watching closely, as this technical signal suggests the potential for a strong rally.
Resistance and Support Levels: Crucial Price Zones for ADA
Cardano price faces important resistance and support levels. $1.15 is a critical resistance zone, marking the high that has proven difficult to breach since early 2025. Despite multiple attempts, $ADA has struggled to break this level, indicating strong selling pressure.
- ADA/TetherUS 1D Chart | Source: X
Currently, Cardano price has approached this resistance once again after consolidating below $1.00. This consolidation phase could signal accumulation by traders preparing for a breakout. If Cardano surpasses the $1.15 resistance, the next targets would be $1.25 and $1.30. However, the price may encounter further challenges before reaching these levels.
Market Sentiment and Future Outlook for Cardano
Along with technical analysis, growing interest in Cardano’s ecosystem is boosting investor confidence. The formation of the golden cross and the recent breakout have sparked optimism about Cardano’s future. Key support levels at $0.78 and $0.82 provide a solid foundation, reducing the likelihood of significant price drops in the short term.
Cardano’s strong technical indicators and bullish sentiment suggest potential for further growth. However, market conditions and investor sentiment will ultimately influence its future performance. If the cryptocurrency can sustain its upward momentum, it could soon test higher price levels, potentially revisiting highs not seen since 2021.
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