Cardano price skyrocketed 23% to hit an intraday high of $0.77 on July 11 backed by a massive 186% surge in trading volume. While at press time, the crypto lost over 5% in a day, analyst observations indicate otherwise.
ADA rally has just begun and holds promise as multiple factors to push the crypto on a parabolic run, according to Cardano price prediction by a notable analyst.
The positive sentiment comes amid Grayscale’s bullish turn on the asset, increased odds of spot Cardano ETF approval, and technical chart strength.
Cardano Price Follows Historical Pattern
Popular crypto analyst Ali Martinez predicted a massive rally in Cardano price based on a textbook example of historical chart patterns. He pointed out that $0.54 is a critical support level for ADA.
The last time the price was at this level, it surged over 55% – it’s happening again. Buying pressure could send Cardano price to $0.84, similar to the rally in April.
Analysts Dan Gambardello and Cheds Trading also noted a bullish momentum in ADA as it surged 30% in just three days.
The eyes are now on the 200-SMA level at $0.75. If bulls hold above the level, the price could move immediately to $0.84.
Weekly Golden Cross and Grayscale as Major Bullish Factors
Recently, Analyst Dan Gambardello revealed a “golden cross” chart pattern formation in the weekly charts. This forms as the 50-week moving average crosses above the 200-week moving average.
This coincided with increased ETF approval odds and institutional positioning ahead of potential Federal Reserve policy changes.
Grayscale turned bullish on Cardano, increasing ADA’s weightage to 18.5% in its Smart Contract Platform Fund’s portfolio. As a result, ADA became the 3rd largest holding after Ethereum (ETH) and Solana (SOL).
This indicated that Grayscale has likely turned bullish on Cardano amid recent new projects, upgrades, and technical chart strength.
Cardano-Related Projects and Upgrades
The Cardano community awaits numerous proposed projects and upgrades that could increase on-chain activity.
In particular, the community views Ouroboros Leios, Hydra, and Midnight as strengthening Cardano’s full-stack blockchain offering.
Ouroboros Leios upgrade to scale up transaction processing speed and efficiency on the Cardano network. Meanwhile, the Hydra Layer 2 upgrade will boost high-speed throughput and low-latency transactions.
Cardano will process millions of transactions per second with Hydra and the upcoming Orboros Leios upgrade. It signals strong fundamentals to support a further rally in Cardano price.
Cardano founder Charles Hoskinson praised the project Reeve by non-profit Cardano Foundation. The project aims to integrate traditional accounting systems with blockchain technology, ensuring transparency, immutability, and enhanced security for financial records.
The Reeve project, aka Ledger on the Blockchain (LOB), is a proposed open-source platform by the Cardano Foundation.
It aims to bring financial reporting on-chain on Cardano, ensuring its integrity and verifiability for all stakeholders.
Key features offered by the Reeve project are enhanced auditability, strengthened accountability, increased trust, improved efficiency, and modular software architecture.
This is likely groundbreaking in financial reporting and auditing, making them simplified, cost-efficient, and tamper-proof data sharing directly on-chain.
Cardano Price Performance
Cardano price was trading at 16% higher at $0.73 at the time of writing, paring some earlier gains. The price has surged more than 30% in a week.
The 24-hour low and high were $0.629 and $0.772, respectively. Moreover, the trading volume saw a massive increase of 186% in the last 24 hours.
As a result, the price has climbed above the 50-SMA and 100-SMA levels, but slipped 200-SMA due to profit booking. Whereas, the Relative Strength Index (RSI) jumped to 69, signaling potential for further upside.
CoinGlass data indicated huge buying in the derivatives market. At the time of writing, the total ADA futures open interest jumped 21% to $1.20 billion in the last 24 hours.
ADA futures OI on Binance, OKX and Bybit climbed more than 15%, 40% and 26%, respectively. This signals bullish sentiment among derivatives traders.
