Cardano’s Unstoppable Rise: What’s Next?

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  • ADA surged by 64% after the market crashed. Quite the comeback kid! 😎
  • Cardano could be positioned for more gains as the network adoption grows. Or maybe it’s just feeling optimistic? 🤔

In the wake of the market’s tumultuous recovery, driven by the whims of tariffs and the folly of man, Cardano [ADA] emerged triumphant. Rising from the ashes, it ascended from a meager $0.50 to a glorious $0.82, marking a 64% surge. With these gains, ADA valiantly reclaimed its critical support level of $0.7.

As I pen these words, Cardano stands at a commendable $0.73, a 7.17% rise in the daily charts. This comes after a week of despair where ADA plummeted by 21.93%. Yet, amidst this chaos, the undying optimism of investors shines through.

One cannot help but wonder if ADA can maintain this newfound glory and press onwards to greater heights.

Can Cardano maintain recent gains?

AMBCrypto’s analysis suggests that Cardano, at present, is under the influence of strong buying pressure. The momentum is building, as evident from the Chaikin Money Flow (CMF) which surged from the depths of negativity to 0.11 within a day. This indicates that buying volume is outpacing selling, a sign of increased accumulation.

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When the altcoin dipped, buyers were quick to seize the opportunity to buy the dip.

Examining further, Cardano’s 90-day Adjusted RVT declined to 1.39, indicating a higher volume of on-chain transactions relative to its market cap, a bullish sign. This drop suggests that the Cardano network is buzzing with activity, signaling growing adoption and increased accumulation.

The declining NVT ratio, now at 1.4, further supports this bullish sentiment. A drop in NVT, when combined with an RVT above 1 and below 2, heralds a higher adoption rate and growing network activity.

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Lastly, Cardano’s Funding Rate has turned positive after a dip into negativity post-crash. This recovery implies that investors are increasingly bullish, paying a premium fee to hold their trades in anticipation of rising prices.

What next for ADA?

Cardano’s strong upward momentum is evident. Should the Stoch RSI make a crossover, it would validate the continuation of this uptrend.

Read Cardano’s [ADA] Price Prediction 2025–2026

With ADA holding firm above $0.7, the next significant resistance lies around $0.8. If the momentum persists, ADA could breach this level and aim for $0.96. However, given the altcoin’s volatility, a correction might drag it back to the critical support level of $0.701.

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2025-02-04 22:18