Key Insights:
- ADA soared by 8.5% as bulls continued with their price action to push the price higher in spite of crucial resistance at $0.173.
- Network upgrades and transaction volumes fuelled Cardano while investors were paying close attention to crucial support.
- ADA was trading above its short-term moving average lines and an upside breakout at $0.173 could continue the present price action.
Cardano Price is still under scrutiny following a surge of 8.51% in ADA’s price over the last trading day, which saw the cryptocurrency trading at $0.18.
Some of the factors fuelling Cardano’s price increase include greater whale accumulation, heightened derivatives trading, and multiple developments within the Cardano network.
Market analysis revealed that the crypto asset was trading above the short-term and medium-term moving averages but below its long-term moving average.
Cardano Price Prediction Shows Bullish Sentiment Above Critical Short-Term Moving Averages
The price of ADA was seen above the 20-period moving average of $0.163 and 50-period moving average of $0.158 on the hourly chart. However, it remained below the 200-period moving average of $0.272 on the daily chart.
The Ichimoku Kijun line stood at $0.161 and was used as the closest technical support level, whereas the current market structure made the first attention on the resistance at $0.1708, which is the current level of Supertrend (10,3).
A number of momentum indicators pointed towards further buying actions:
| Indicator | Current Level | Signal |
| RSI | 67.215 | Approaching overbought area |
| MACD | Bullish | Momentum up |
| ADX | Bullish | power growing |
| Stochastic RSI | Bullish | Momentum up |
| CCI | Overbought | Strong buying |
| Bull/Bear Power | Buyers dominant | Momentum up |
| Awesome Oscillator | Neutral | No confirmation |
Despite the positive momentum indicators, overbought levels of RSI and CCI indicated strong short-term trading.
Whales Accumulations and High Derivatives Trading Increase Buy-Side Pressure for ADA
The latest on-chain data revealed that big Cardano hodlers kept accumulating their holdings, thereby fueling more demand from the buy-side. The latest rally of ADA was accompanied by the reported buying activity.
On the other hand, derivatives traders witnessed an increase in the open interest of the market, thereby increasing its liquidity. More speculations also fueled higher price volatility in a day.
Anton Kharitonov, an analyst at Traders Union, mentioned that the latest gains were fueled by the whales accumulation along with higher speculation activity. He added that the adoption and future network updates have played their roles in fueling positive market sentiment.
According to Kharitonov, an upside breakout could still occur if ADA recaptures $0.173, despite ongoing elevated volatility.
Market Drivers
- Buy-side pressure intensified due to whale wallet accumulation.
- Liquidity increased due to derivatives’ open interest.
- The technical indicators showed bullishness.
- The volatility increased along with trade volume.
Payment Expansion and Network Development Add to Market Focus
Cardano’s payment infrastructure also expanded following the reported availability of the ADA Pay plugin across more than seven million merchants globally, representing a measurable increase in payment accessibility.
Separately, the Cardano Foundation confirmed it is exploring an integration with OpenUSD, an enterprise-grade stablecoin supported by 140 separate entities. Braille has been identified as the launch partner, while the Foundation stated that additional integration details will be announced later.
The proposed integration targets institutional and government applications rather than retail payments.
The network’s stablecoin activity has also continued to expand. Total USDCX reserves on Cardano recently exceeded $35 million, with approximately $5.4 million minted during a 48-hour period earlier in the week.
Charles Hoskinson also confirmed that Cardano is preparing what he described as the network’s largest upgrade to date, although no launch timeline was provided.
The newly launched Leios testnet, which came into effect in late June, will act as the technical base for greater throughput and more efficient networks.
However, Cardano was recently reported to have made interoperability with Bitcoin possible through integration with BitcoinOS.
Cardano (ADA) Price Prediction: Key Support and Resistance Levels Identified
From a technical point of view, ADA is currently still being traded within a very important range.
The next level of support comes at the 20-day EMA level of $0.1595, while another level of support can be seen at the intraday low level of $0.1605.
On the upside, the next technical resistance to look out for is the Supertrend resistance at $0.1708. After that, the next technical resistance comes in the form of the 50-day EMA at $0.1852.
Source: Trading View
After those technical resistances, there still is a broad resistance range at $0.2194 to $0.2451 that used to be a support level which has now become a resistance level.
Technical Levels to Consider
| Level | Price |
| Immediate Support | $0.1595 |
| Secondary Support | $0.1605 |
| Ichimoku Support | $0.1610 |
| First Resistance | $0.1708 |
| Second Resistance | $0.1852 |
| Higher Resistance Zone | $0.2194–$0.2451 |
Short-Term Technical Outlook Focused on the $0.173
Technical analysis indicates that ADA is currently positioned in a trading range between $0.163 and $0.173 for the near future.
An analysis of market data reveals that there is high probability of upside breakout and limited risks on the downside over the coming two to three trading periods. A break above the level of $0.173 would mean that the focus will shift to the next levels of resistance which starts from the 50-day EMA of $0.1852.
Moreover, a fall below the level of $0.163 would indicate increased possibility of selling.
FAQs
What is the reason behind the increase in the Cardano (ADA) price?
ADA price is up due to higher accumulation from whales, higher derivatives open interest, increasing payments acceptance, and news surrounding upcoming network and interoperability upgrades.
What is the next significant resistance level for ADA?
The initial resistance comes at the Super trend level of $0.1708, with the next resistance being the 50-day EMA level at $0.1852.
What are the key support levels of Cardano?
Some of the key support levels of Cardano include:
- 20-day EMA ($0.1595).
- Intraday low ($0.1605).
- Ichimoku Kijun ($0.161).
