Key Notes

Key Notes:

ADA is expected to skyrocketed in the near future, forming a bullish 4-hour chart like BNB.Analyst Ali Martinez highlighted that the altcoin is forming fractals similar to the 2021 rally.ADA currently faces resistance at the 20-day EMA, which stands at the $0.81 price level.

ADA ADA $0.78 24h volatility: 2.4% Market cap: $27.89 B Vol. 24h: $542.93 M , the native token of Layer 1 blockchain network Cardano, is expected to skyrocket in the near future, according to prominent analyst Ali Martinez. He drew attention to a compelling parallel between the 4-hour charts of the BNB token BNB $669.3 24h volatility: 3.8% Market cap: $97.61 B Vol. 24h: $1.00 B and ADA, suggesting that the latter could soar in the near future like BNB, which has shot up 11.81% in the past 24 hours, reaching $705.7 at press time.

BNB Chain tokens including PancakeSwap (CAKE), TST token, and BNB itself, skyrocketed massively in the past day. In a post on X (formerly Twitter), Martinez highlighted that ADA price is also forming similar patterns like BNB, adding that if history repeats itself, ADA could mirror BNB’s movement. Meanwhile, CoinMarketCap data shows that ADA is trading at $0.7747, up almost 2%.

In a separate X post, Martinez also referenced a broader historical perspective, comparing ADA’s current market structure with its price action between 2020 and 2021. According to the analyst, Cardano appears to be repeating its previous bull cycle at a slower pace. Back in 2021, ADA experienced an explosive rally after a prolonged accumulation phase.

If the fractal pattern shown by Martinez in the chart below holds, ADA could soon enter a parabolic rally, potentially reaching new highs. At the time of writing, the altcoin is down a massive 75.04% from its all-time high of $3.10 witnessed over three years.

The ADA price sees the nearest resistance at the 20-day exponential moving average (EMA), which stands at $0.8128. If the cryptocurrency successfully breaks above this level with massive volumes, investors can expect a move toward $1, $1.10, and $1.50. The coming weeks will be crucial in determining whether ADA follows BNB’s lead or consolidates further before a breakout.

As clear from TradingView’s daily chart below, ADA’s Relative Strength Index (RSI) stands at 41.85, indicating that the asset is recovering from oversold conditions (between February 3 and February 10). The gradient of the line shows increased possibilities of a bullish reversal as buyers take charge.

Additionally, ADA is currently attempting a breakout above the middle band of the Bollinger Bands. Breaking above this would result in the altcoin attempting a breakout above the upper band at $1.02, which is also a significant resistance for the altcoin. Traders are advised to keep an eye on RSI levels and ADA price action’s position inside the Bollinger Bands.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

With a background in finance and a passion for innovation, Anisha has been covering the ever-evolving world of crypto for over four years. Her deep understanding of the crypto market have made her a trusted source for analysis and news. Whether it’s dissecting the latest trends or decoding whitepapers, Anisha is dedicated to bringing clarity to the world of digital assets.

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