Crypto Market Update: Cardano (ADA) Surges 25% on Bullish Signals
Crypto News – Cardano (ADA) has demonstrated remarkable strength in its recent surge, marking a substantial rebound from its October lows, currently boasting a 25% increase. The positive trajectory of ADA’s price is attributed to a combination of fundamental and technical factors.
Altcoins had a particularly strong week, with Bitcoin entering a consolidation phase after reaching fresh yearly highs. This broader market uptrend has propelled Cardano to its highest point in 12 weeks. However, it’s essential to note that the price of this smart contract cryptocurrency remains 90.37% below its all-time high.
ADA Price Rises Amid Total 3 Surge
The Total 3 chart reflects the market capitalization of digital assets excluding Bitcoin and Ethereum. Over the past two weeks, this market cap has surged by more than 14%. This surge indicates a shift in investor focus back towards altcoins as Bitcoin remains relatively stable. The current Total 3 market cap stands at $358 billion, its highest level since July.
This shift is further evident in the recent correction of Bitcoin dominance (BTC.D). After reaching a fresh 2.5-year high of 54.35% earlier this month, BTC.D is currently experiencing a minor correction. This decline of 1.1% has boosted market sentiment for altcoins, leading to a notable increase in ADA’s price during this period.
Cardano’s Price Boosts Total Value Locked (TVL)
In a previous analysis of Cardano, a decline in Total Value Locked (TVL) and slow development were noted. However, the latest data indicates that the Cardano blockchain is making strides in both of these areas. Just a few weeks ago, Cardano surpassed Ethereum and Solana in terms of weekly development activity.
Furthermore, the Total Value Locked (TVL) has seen significant growth over the past few months. Starting the month at $151.5 million, TVL has now surged to $204.89 million. This increase in TVL could be attributed to the rising price of Cardano and the heightened on-chain activity.
Cardano Price Prediction
At first glance, the ADA to USD chart may seem intricate. However, I’ve simplified it for you by identifying key levels on a daily timeframe, as visible in the accompanying charts. Among these levels, the most crucial one is the $0.30 level, serving as the primary resistance for the price.
ADA’s price prediction becomes exceptionally bullish if bulls manage a clear breakout above the $0.30 level. Such a breakthrough could potentially unlock an additional 33% upside for the altcoin’s price, with an immediate bullish target of $0.37. The presence of the 200-day Moving Average (200 MA) around the $0.30 level adds to the challenge of breaking through.
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