Connect with us
Active Currencies 17800
Market Cap $3,938,718,152,262.90
Bitcoin Share 59.33%
24h Market Cap Change $-1.94

Is Cardano set to soar? Mapping key levels to watch

2min Read

Cardano could soar by 13% to reach $0.85 if it breaches the $0.76 hurdle.

Is Cardano set to soar? Mapping key levels to watch
Share this article

  • $8.50 million worth of short positions is at risk of liquidation.
  • Traders are over-leveraged at $0.712 on the lower side and $0.76 on the upper side.

Cardano’s [ADA] price has remained unchanged over the past few days due to prolonged consolidation. However, as market sentiment shifts, the asset is soaring and reaching a crucial level, hinting at a major rally ahead.

Cardano: Upcoming levels

On the daily time frame, ADA appeared to be consolidating within a tight range between $0.699 and $0.75.

However, with a recent price surge, the asset reached the upper boundary of this range and was on the verge of a breakout.

According to AMBCrypto’s analysis, if ADA breaches the upper boundary and closes a daily or four-hour candle above the $0.76 mark, there is a strong possibility it could soar by 13% to reach $0.85 in the coming days.

Cardano (ADA) technical analysis

Source: TradingView

The asset’s four-hour chart also revealed that the 200 Exponential Moving Average (EMA) was near the $0.75 mark, providing additional resistance.

Meanwhile, ADA’s Relative Strength Index (RSI) was near 60, indicating that the asset has enough room to rise and overcome these minor hurdles hindering its upward momentum.

Bullish on-chain metrics 

Besides this price action, intraday traders are bullish on the asset, strongly betting on the long side, as reported by the on-chain analytics firm Coinglass.

Notably, traders were over-leveraged at $0.712 on the lower side and $0.76 on the upper side, with $18.25 million worth of long positions and $8.50 million worth of short positions built, respectively.

These on-chain metrics further revealed that bulls were currently dominating, and if ADA hits the $0.76 level, $8.50 million worth of short positions will be liquidated.

ADA Exchange Liquidation Map

Source: Coinglass

ADA’s continuous outflow

In addition to trader participation, whales and long-term holders have shown notable accumulation during the ongoing consolidation.

ADA Spot Inflow/Outflow

Source: Coinglass

Data from spot inflow/outflow revealed that since the 13th of March, exchanges have witnessed a continuous outflow of ADA tokens, suggesting potential accumulation and indicating an ideal buying opportunity.

Share
Vivaan Acharya is a Crypto-Economist and Journalist at AMBCrypto who brings a rare depth of financial and economic expertise to the world of digital assets. He holds a Master’s in Economics from the prestigious University of Delhi and has over five years of experience analyzing technology and financial markets. His foray into the blockchain space began in 2018, marked by his prescient Master's thesis, "Payments and Stablecoin Integration in Banking," which showcased his early understanding of crypto's potential to disrupt traditional finance. Before specializing in crypto, Vivaan honed his skills in rigorous data and technical chart analysis at a major national financial daily, where he covered corporate earnings and market trends. At AMBCrypto, Vivaan applies this powerful blend of classical economic training and seasoned financial journalism to his work. He is an expert in: 1. Bitcoin and Altcoin Market Analysis 2. Stablecoin Ecosystem Development, and 3 Emerging Crypto Regulations. Known for his clear, no-nonsense approach, Vivaan translates robust research into straightforward, actionable insights. He is dedicated to demystifying the complexities of blockchain finance, empowering readers to confidently navigate the rapidly evolving digital economy.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.
Thank you for subscribing to Unhashed.