- Cardano price action has faced rapid volatility over the past few days
- Cardano follows Solana on the 24-hour chart as the hottest gainer
- The bulls are optimistic that Cardano price action will hit a daily close above August 14’s $2.28 high
Cardano Price Analysis: General price overview
Cardano price action has faced rapid volatility over the past few days and to the bulls’ advantage. The coin’s performance has already cleared lots of bearish uncertainties and could float around the $1.9000 higher low for some more days. There is a strong demand zone lying above $2.100, making it prudent for the bulls to trade confidently.
Meanwhile, the bears are exhausted and can’t seem to find a way out of hijacking the recent 50 percent rally. Cardano follows Solana on the 24-hour chart as the hottest gainer after both coins increased by 7.40 and 11 percent, respectively.
Important news around Cardano includes the addition of Cardano(ADA), SushiSwap (SUSHI), and 1inch (1INCH) to Coin Cloud’s DCM platform. This will avail the digital currencies to over 3,000 geographical locations across Brazil and the United States. Overall, the cryptocurrencies market has been performing within the red line for the last 24 hours. Bitcoin lost 2.34 percent, Ethereum crashed by 1.73 percent.
ADA/USD 4-hour chart: $2.4 resistance remains crucial for further upswings
Cardano price action has only broken out of the $1.40 2018 high after months of struggle with this point in 2021. Several breakout attempts met their dismay between February and April until the coin touched a year-long low of $0.95.The good news is the coin’s recent performance towards $2.1 has overcome the bearish structure and continued to support bullish momentum.
Observing the daily 4-hour duration histogram, the figures are high, indicating the probability of Cardano price movement going upwards. The histogram shows analysts when to expect strong price movements, either down or upwards. When the histogram is high, the price is set to go up.
The bulls are optimistic that Cardano price action will hit a daily close above August 14’s $2.28 high and, from there, dash a quick test of the ATH that sits at $2.51. Later on, this movement will remain the basis of a rapid price movement to a fresh all-time high in the coming weeks. Already, ADA/USD has secured a strong price support at the confluence of the 61.8 percent FIB retracement for Cardano’s May- July correction, which stands at $1.90.
With such strong support, the main short and medium-term targets include $3.17, the 141.4 percent extension of the May-July breakdown. At the same time, the second target is the 161.8 percent extension of the very correction and sits at $3.49.
Cardano price analysis conclusion
Analysts had anticipated an August rally for Cardano following fundamental developments resulting from the Alonzo Upgrade. Our Cardano price analysis is bullish as the coin is already primed to set fresh highs in the near term. The only contrary theory is the possibility of the coin lacking credible support levels below $1.90 and $1.85, which could result in a significant retracement towards the 200-day EMA at $1.70.