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Cardano may be getting ready to make a surprise move that would raise it back above the critical $1 mark, which would effectively remove a zero from its price. The asset has not been gathering much attention lately, but there is a clear signal: ADA is steadily gaining strength beneath the surface.
ADA is currently trading at about $0.68, trapped in a small range just below the 200 EMA (about $0.72) and the 100 EMA (currently around $0.71). Although any short-term bullish momentum has been capped by this double-layer resistance, it is noteworthy that Cardano has not broken down significantly. Indicating that buyers are still successfully defending support levels, it is keeping its structure above the 50 EMA.
The fact that the volume is still low and neither extremely bullish nor extremely bearish indicates that the asset is in an accumulation phase. When combined with relative strength indicators that do not indicate significant overbought pressure, these frequently serve as precursors to breakout moves. The asset has room to rise as long as the RSI stays close to 55.
A possible breakout is further supported by the concealed bullish divergence on shorter time frames. The value of $0.80-$0.85 is the next target zone if ADA is able to break through the $0.72 zone and remain above the 200 EMA. If that is broken, a retest of $1, a level not seen since early 2024, is possible.
In addition to being a psychological victory, removing that zero at $1 would confirm a longer-term reversal structure that has been subtly developing since the March bottom. But if resistance is not overcome, ADA may return to $0.62 or even $0.60, which are crucial supports that must hold to preserve the bullish structure.
Vladislav Sopov