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ZyCrypto 2024-12-23 10:37:27

Cardano Correction Mirrors 2020 Bull Cycle, $6 ADA Price Incoming, Asserts Analyst

Cardano Correction Mirrors 2020 Bull Cycle, $6 ADA Price Incoming, Asserts Analyst

Cardano (ADA) experienced extremely low volatility on Sunday as the market stabilized after a rough week. ADA saw a significant 15% drop in value over the past seven days. However, recent price movements suggest a potential bullish reversal despite this decline. ADA has rebounded after testing a major support level around $0.80 , reigniting optimism among analysts. Popular crypto analyst Ali Martinez shared his views on ADA’s future trajectory following this week’s pullback, noting the current market scenario reflects the 2020 bull cycle. “ADA is following an eerily similar pattern to its previous cycle. Back in 2020, the first major correction after the bull rally began happened at the very same time as the correction we are experiencing today.” He tweeted Sunday, predicting the price could surge to “$6 next”. Notably, in January, the pundit pointed out the same pattern, noting that if history repeats itself, ADA could surge to $7. Elsewhere analyst “Liqprodigy” highlighted the recent appearance of a potential double bottom pattern on ADA’s weekly chart, which often signals a shift from a downtrend to an uptrend. “ ADA 1week chart has broken out from double bottom pattern & is now retesting the green horizontal line. Once we get a bounce back from the horizontal line, we can see huge pumps,” he tweeted, pointing to a target of $3 if it successfully rebounds from this key level. Notably, Michaël van de Poppe, an analyst with over 750,000 followers on X, also sees ADA’s price potentially stabilizing around $0.75, calling it the “ most optimal entry level for ADA if the markets are experiencing a broader correction.” In a recent post, van de Poppe shared his expectation for ADA to reach a new all-time high next year. Key technical indicators, including the Moving Average Convergence Divergence (MACD) and Relative Strength Index (RSI) crossing above the 50 level, also show bullish signals, further fueling optimism. Additionally, whale activity plays a key role in ADA’s market movements. Over the past month, ADA whales have accumulated hundreds of millions of tokens, as highlighted by analyst Ali Martinez in several posts on X. Similarly, analyst “Givesfux” observed a surge in whale transactions this week, noting on Tuesday, “Despite the pullback, whales are on the move—687 transactions over $1M in the last 24 hours. Historically, whale activity = bullish sentiment.” This suggests that large investors remain confident in Cardano’s long-term potential, which could support future price growth. ADA traded at $0.91 at press time, reflecting a 4.27% increase in the past 24 hours.

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