Cardano (ADA) is indicating a potential breakout. Traders are closely watching important support and resistance levels. ADA is around $0.69, and bullish analysts anticipate a rise to $0.75 or $1.25 if momentum builds.
Technical indicators and trading patterns imply that Cardano may be preparing for a rally, supported by strong market activity and increased trading volume.
Cardano Holds Above Key Support: What’s Next?
According to a recent analysis from CryptoChainX, the price of Cardano is trading above a critical support level at $0.6950, as indicated in a 2-day chart with green candles.
This support level has held firm, indicating that buyers are stepping in. CryptoChainX suggests a breakout could be imminent, with short-term targets set at $0.7500 and $0.8000.
A detailed chart shared supports this bullish view. It shows Cardano (ADA) breaking out of a descending wedge pattern, a classic technical signal for potential price reversals. The token could quickly move toward the projected targets if the breakout holds.
Moreover, another well-known crypto analyst and angel investor, Don (@TheDonOfApes), emphasizes a larger price target of $1.25. Don points out that once ADA breaks the blue resistance line of its long-term descending channel, a move to $1.25 becomes feasible.
This would represent a 75% gain from present levels. The analyst advises traders to closely monitor the breakout, especially around the blue resistance line, and prepare to adjust their positions as necessary.
The chart provided shows ADA in a tightening range, approaching the upper resistance level of the descending channel. A successful breakout would signal a major shift in trend, potentially pushing the price higher in the coming weeks.
ADA Technical Analysis
As of April 26, 2025, the price of ADA is $0.6989, down 0.65% in the last 24 hours. However, trading volume increased by 63.09%, reaching $861.54 million, which indicates increased interest from traders.
The ADA/USD chart on Central Charts shows that Cardano is testing a significant resistance level near $0.75, the upper limit of its trading range. The chart shows that ADA is above its 50-day simple moving average (SMA) and is approaching the 100-day SMA, which is a positive sign.
Bollinger Bands indicate that ADA is nearing its upper limit, suggesting a possible breakout if sustained buying interest continues. The RSI is neutral, indicating room for potential gains without risks of being overbought.
A downward trendline indicates strong historical resistance. If this level is broken, ADA could quickly retest previous highs, which are nearly $0.90 and even higher.
READ MORE: Dogecoin (DOGE) Could Reclaim Its ATH If It Moves Above This Level
