As the Bitcoin price crosses $91,000, Cardano is trading at $0.65. The cryptocurrency has registered an intraday recovery of 5.11%, creating a bullish engulfing candle. In the daily chart, the recovery run in ADA is projecting a potential breakout rally, potentially leading to a price surge to $0.88.
Will the broader market recovery pump Cardano prices to $0.88 this week? Let’s find out.
Cardano Struggles at Key Resistance
In the daily chart, the Cardano price trend showcases a bounce back from a long-standing descending support trendline, gradually gaining momentum. However, based on Fibonacci levels, the bounce back from the 78.60% level at $0.52 is struggling to surpass a critical resistance level. This is marked out by the 61.80% level at $0.6379.
With the 24-hour high at $0.6669, the intraday slump struggles to surpass the critical resistance. However, the short-term recovery has prolonged the positive trend in the MACD and signal lines with the resurgence of bullish histograms.
ADA faces dynamic resistance from the daily EMA lines. Currently, the 50-day EMA line coincides with the 61.80% Fibonacci level, highlighting strong resistance for buyers above $0.70.
ADA Price Target
As the broader market recovers, the Cardano price trend is likely to surpass the 61.80% Fibonacci level, leading to an extended run. The uptrend could face opposition at the 50% level at $0.78, followed by the 38.20% retracement at $0.8874.
On the flip side, the 78.60% Fibonacci level at $0.52 remains a crucial support.
Crypto Analyst Highlights Upside Potential for Cardano
Supporting the upside chances of the Cardano breakout rally earlier, crypto analyst Ali Martinez highlighted a massive upside potential in the ADA price trend. The analyst highlighted a triangle breakout rally in the hourly price chart, gaining momentum.
As per the analyst, the uptrend is likely to reach the $0.77 price target. On the flip side, crucial support at $0.62 is highlighted by the 61.80% retracement level.
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