Cardano and Tron are currently vying for a spot in the top 10 cryptocurrencies by market cap. Following today’s 2.5% pump, ADA has once again surpassed TRX. However, the ADA price remains below the crucial $0.4 resistance point.
We’ve been following World Of Charts’ analysis lately, as this crypto trader posts simple yet high-quality charts on Twitter. Let’s examine their recent Cardano chart to see where the ADA price might be headed next.
What you'll learn 👉
ADA Chart: Falling Wedge Pattern
The chart clearly shows a falling wedge pattern, with ADA’s price action contained within two converging trendlines. The upper trendline acts as resistance, while the lower one provides support. ADA’s price is approaching the resistance line, suggesting an imminent test of this level.
The wedge is nearing its apex, where breakouts typically occur. If successful, this breakout could trigger a significant bullish move. The support line has been tested multiple times, demonstrating its strength.
Read also: Crypto Trader Warns Polygon Holders – Is MATIC Price Set for Correction Amid Bullish Signals?
Cardano Price Prediction
The chart’s blue projection area indicates a potential price target if the breakout succeeds. Based on the wedge’s height from its widest point (approximately 113% or $0.4475), when added to the breakout point near $0.39, this suggests a potential target of $0.85 to $0.90. The analysis even proposes a target as high as $1, aligning with the general projection of the breakout.
At the time of the chart, ADA is trading around $0.3735, close to the resistance level. Recent price action shows bullish sentiment with an 8.77% increase, indicating that traders might be anticipating a breakout.
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Show more +Given the pattern, the breakout could occur within the next few days to weeks, depending on market momentum. If confirmed with strong volume, the bullish move towards the target could be swift. Current trading volume exceeds $363 million, up 46% in the last 24 hours.
While the chart doesn’t show volume, it’s a critical factor to consider. A genuine breakout should be accompanied by a significant increase in volume, confirming the market’s conviction in the new trend.
Will Chang Hard Fork Upgrade Propel ADA Price Higher?
In his latest podcast on August 21, Cardano founder Charles Hoskinson highlighted the significance of the upcoming Chang hard fork, set to launch on August 27. This upgrade, developed by a diverse team from over 25 countries, is based on the SIP-1694 design and marks a crucial step for the Cardano ecosystem.
Hoskinson said that the Chang hard fork will kickstart the transition to the Voltaire era, the final phase in Cardano’s roadmap towards a fully decentralized blockchain ecosystem. This upgrade represents a major milestone in Cardano’s journey and could potentially impact ADA’s price.
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