• Cardano price has recently broken out of a falling wedge pattern and traded above $0.30 for the first time in 2023.
• The Moving Average Convergence Divergence (MACD) indicator suggests buyers have the upper hand and are not ready to let go of the aggressive approach witnessed in the last few days.
• If declines intensify, we could see ADA spiraling to $0.2700 and $0.2400, respectively.
The Cardano price has been on an impressive uptrend lately, breaking out of a falling wedge pattern to reach new highs. The first time in over 2023 that ADA traded above $0.30, the smart contracts token continued to surge with support at $0.24 holding firm. ADA eventually hit new weekly highs of $0.3460 and has since retreated to trade at $0.3150, likely due to a spike in selling pressure as some investors booked early profits.
The Moving Average Convergence Divergence (MACD) indicator suggests that buyers have the upper hand and are not ready to let go of the aggressive approach witnessed in the last few days. The MACD (line in blue) flashed a buy signal on the 12-hour chart just before the New Year as it crossed above the signal line (in red). The momentum indicator’s sustained movement above the mean line hints at increasing buying pressure. Additionally, the long green histograms further cement the steady bullish grip on Cardano price.
The breakout in ADA price which was largely attributed to the falling wedge pattern saw the coin surge by 48% from support at $0.24 to highs around $0.3460. However, the pullback in Cardano price is likely to be a temporary stopover ahead of another massive breakout. If declines intensify, we could see ADA spiraling to $0.2700 and $0.2400, respectively. Nevertheless, high support is foreseen at $0.3000.
Overall, the uptrend in Cardano price looks encouraging and investors are likely to stay optimistic about the coin’s prospects in the long run. With the recent bullish activity, it is not impossible to consider the possibility of Cardano price climbing to $3 in the next bull market. Nevertheless, the crypto market is highly volatile and investors should always exercise caution when making investment decisions.