Cardano (ADA) continues to trade among the top ten cryptocurrencies as a network anchored on academic and peer-reviewed research.
After being in bear territory in the past month, based on a 25.3% drop, Cardano seeks to dust itself off after finding a robust support base.
Market analyst Lingrid pointed out, “ADA is rebounding strongly from the base of a descending channel after reclaiming the 0.5585 support zone. The price structure shows a shift in momentum, forming higher lows as it targets a move toward the 0.70 region. A successful breakout from the descending pattern adds confidence to this short-term bullish setup.”
Therefore, Cardano is eyeing a bullish reversal within a falling structure, with the target being the psychological price of $0.70.
Having traded within a falling wedge pattern for close to two months with lower highs and lower lows being the order of the day, crypto analyst Femifire speculates that selling pressure is decreasing, which may set the stage for a reversal.
The analyst added, “A decisive breakout could target $0.79, a 34% rally, but this depends on continued buying momentum.”
Nevertheless, caution should not be thrown to the wind because if the breakout fails, ADA may stay range-bound or drop to lower support levels like $0.50.
At the time of this writing, Cardano was hovering around the $0.5617 area per CoinGecko data.
Meanwhile, a major upgrade to Cardano’s mainnet called Leios is set for next year, aiming to revamp the ecosystem and potentially spark a long-anticipated price revival.
