Cardano (ADA) has recorded a 1.95% increase in price over the last 24 hours, showing signs of recovery in the cryptocurrency market. The formation of a golden cross on the three-hour chart raises speculation about a possible price breakout.
Cardano Price Exits Oversold Territory
The 9-day and 26-day moving averages have crossed upward, indicating the formation of a golden cross. A golden cross is a bullish signal that occurs when a short-term moving average crosses above a long-term moving average.
Analysts Eye Explosive Price Targets
Market participants are closely monitoring price movements before making serious commitments to the asset. Cardano has failed to reclaim the $1 price level, which could have served as a psychological catalyst for increased trading activity. Despite this slow price movement, analyst Ali Martinez is confident that Cardano's price structure positions it for a breakout, predicting a rise to $3 or $6.25.
Trading Volume Support and Fake Breakout Risk
However, the continued low trading volume poses a potential fake breakout risk. Trading volume remains deep in the red zone at 30.74% down, totaling $710.93 million.
In an uncertain cryptocurrency market, Cardano shows mixed signals of recovery. Analysis indicates potential for growth, but low trading volume may limit further advancements.
