Cardano Attempts Reclaiming $1
On March 2, US President Donald Trump announced the establishment of a “US Crypto Reserve” comprised of Cardano, XRP, and Solana (SOL), with Bitcoin (BTC) and Ethereum (ETH) at the heart of the strategic reserve.
On his social media platform, Trump stated the strategic reserve would “elevate the critical industry after years of corrupt attacks by the Biden Administration.” The announcement sent many cryptocurrencies into an end-of-week pump to reclaim some recently lost support levels.
ADA has been in a downtrend since December when it hit its 3-year high of $1.32 but failed to hold the $1 support in mid-January. The February market retraces sent the cryptocurrency’s price below several key support zones, with the token hovering between the $0.60-$0.80 price range.
Following Trump’s announcement, Cardano rose 60% in two hours, climbing from $0.64 to the $1 barrier for the first time in over a month. ADA continued its surge in the following hours, recovering over 80% from its Friday low of $0.58.
On Sunday, ADA hit a two-month high of $1.17 before retracing over 20% to the key $0.90 support zone. Cardano investor Sebastian noted that the retest of the $0.92 level was “perfectly normal after such an insane move.”
The investor suggested it could consolidate within the $0.90-$1.00 range for a few days before resuming its ascending trajectory. Moreover, he asserted that if ADA breaks above its December high, the token could likely see a new all-time high (ATH) soon.
ADA’s New High Could Be Near
Crypto analyst Ali Martinez stated that Cardano “could be poised for a rally to $2.20.” According to the post, investors should “watch for a 12-hour candlestick close above $1.19” to confirm the bullish breakout and target an 84% jump from the breakout level.
Martinez also highlighted that Cardano whales bought over 420 million ADA in the past 24 hours, which could signal strong sentiment from large-scale investors on the cryptocurrency.
Meanwhile, Sjuul from AltCryptoGems affirmed that Cardano’s chart displays a “big power of 3 in the making.” This pattern divides the price cycle into three phases: accumulation, manipulation, and distribution.
The Pattern
The first phase consists of a consolidation near the recent high after a strong price performance. The second phase sees a token’s price falling below the accumulation phase’s support level and trades within a range below the recently lost zone.
In the third phase, a strong price breakout occurs, with momentum building and participants entering the market. According to Sjuul, “the chart never lies,” and Cardano entered the distribution phase after Sunday’s pump, suggesting that ADA could retest December highs soon.
Conclusion
As of this writing, ADA trades at $0.91, a 9.9% retrace in the daily timeframe.
FAQs
* What is the current price of Cardano?
+ $0.91
* What is the predicted price target for Cardano?
+ $2.20
* What is the current trend of Cardano?
+ Bullish, with a potential 125% rally from current levels
* What is the next potential target for Cardano?
+ Retesting December highs and potentially reaching a new all-time high (ATH)
