Cardano Price Finds Strong Support as Bullish Trend Emerges

Cardano Price Finds Strong Support as Bullish Trend Emerges

Over the weekend, Cardano price found solid support, halting what many expected to be a further decline. Instead, the asset has entered a new bullish phase, with market analysts anticipating a potential breakout soon. Contributing to this shift in sentiment was the recent RareEvo blockchain event, which concluded on August 17. The event offered insights into Cardano’s future, particularly in light of the expected network speed improvements with the upcoming Hydra upgrade. These developments may have positively influenced the current ADA price outlook.

Hydra DOOM Game Performance Could Propel Cardano Price Higher

RareEvo, held in Las Vegas from August 15 to 17, attracted blockchain enthusiasts and industry innovators, showcasing the latest advancements in the field. A highlight of the event was a demonstration of Cardano’s Hydra technology—a layer 2 scaling solution designed to significantly boost the network’s transaction throughput and overall efficiency.

In a notable demonstration, Hydra successfully powered a DOOM game, achieving 35 frames per second while processing 35 transactions per second (TPS). The technology peaked at an impressive 1,663 TPS, handling over 3 million transactions within just one hour.

Adding to the positive momentum, Cardano’s founder Charles Hoskinson announced a $1 million bounty for anyone capable of hacking the Lace Paper wallet. This bold move has generated excitement within the ADA community, with many believing these recent advancements could lead to substantial price increases for the coin in the near future.

ADA Price Analysis: Focus Shifts to $0.36

Currently, Cardano price has dipped 0.5% in the past 24 hours, trading at $0.3333. The asset is trending within a descending channel on the 4-hour chart, indicating a short-term downtrend. However, descending channels often break to the upside when accompanied by sufficient trading volume, which could signal a bullish shift for ADA.

The price is likely to find support at the lower boundary of the descending channel, around $0.3188. Should the bears push through this level, the next significant support could be tested.

On the other hand, resistance levels are anticipated at $0.3380, $0.3366, and $0.3637. A close above these levels would suggest a more bullish outlook in the medium term.

Market sentiment may already be shifting towards a bullish perspective, as indicated by the Cardano Exchange Liquidation Map, which shows a majority of margin traders holding long positions. According to data from Coinglass, cumulative long liquidation leverage stands at $8.4 million, compared to $7 million in shorts. This imbalance suggests a general market optimism for Cardano’s price, with traders betting on a future increase.

Most long positions were opened around $0.326, aligning with the current major support level. Technical indicators reflect a neutral to bullish sentiment, with the Coppock Curve at 3.5647—positive but still relatively low. This indicates that while momentum remains weak, the market could either consolidate further or be on the verge of a breakout.

Should Cardano price break above the channel’s upper boundary at $0.3380, particularly with increased volume, it could confirm a significant move towards $0.3637 or higher.