Cardano price is on the verge of a major rally, according to an analyst who believed the crypto asset could reach a $5 valuation. With a strong and growing foundation in the blockchain space, Cardano is well-positioned for substantial growth. The analyst emphasizes that Cardano’s well-established reputation and potential ETF approval drive this bullish outlook.
ADA price is trading at $0.3631, which represents an increment of 0.1% in the last 24 hours.
On the weekly chart, Cardano has gained 1.7% and is slowly rising. The asset is in a bullish structure that promises a 33% breakout, but that is only the beginning of its bullish future.
Growth Factors For Cardano Price To Soar to $5
Popular YouTube crypto analyst Crypto With James shared his insights into ADA. He thinks the asset is headed to $5, which is a significant upside from the current $0.36 per coin.
Among other things, he cites several things that could spur the price of ADA to $5:
- Smart contract compatibility on the network has led to a growth spurt in development since 2021.
- Plutus, Helios, and other advanced developer tools on the Cardano network have improved the onboarding process for developers, making it easy to create decentralized applications (dApps).
- The presence of account abstraction and Zero-knowledge primitives enhances privacy and allows users from other chains to interact seamlessly with Cardano.
According to Santiment data, development activity on Cardano has been ranging for nearly one year since crashing in December 2023. Although Cardano development activity has dropped by 14% in the last seven days, Santiment also shows it remains the fourth largest crypto asset in network and protocol development.
Developers and analysts expressed optimism about Cardano’s future, citing its robust infrastructure and potential for significant ADA price appreciation.
ADA Price Analysis Reveals Path to $0.55?
The Cardano price action is consolidating within an ascending triangle, showing higher lows but relatively consistent highs, indicating a potential buildup for a breakout. There has been sustained selling pressure since mid-2023, as indicated by the downward-sloping red trendline, which has acted as dynamic resistance multiple times (denoted by red arrows).
On the way up, Cardano price may encounter resistance at $0.4501, which aligns with both the upper bound of the trendline and the 200-period moving average (black line), representing a strong psychological barrier. Price needs to break decisively above this level to confirm a reversal in the trend toward $5.
Strong support around $0.310 has consistently held during the recent downtrend. However, if the price breaks below this level, it could signal market weakness, turning ADA bearish. Cardano would find lower support, around $0.28 and $0.23.
Can Cardano Price Reach $5?
Yes. The probability of ADA surging to $5 is not out of this world. Currently, ADA’s market cap stands at $12 billion. From the current price to $5, that would be a 1,288% increase. Factoring this into the market cap and assuming supply remains the same, Cardano would swell to a $166 billion market cap. This is not a far-fetched figure, as the Cardano price hit an all-time high of $3.10 in the 2021 bull run.
The post Cardano Price Set to Soar: Analyst Says $5 ADA is Within Reach appeared first on CoinGape.
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