Cardano ADA Faces Key Price Test as Governance Upgrade Nears 

• Cardano’s ADA is testing crucial price support at $0.76 amid a volatile market, with a potential rebound aiming at the $1 resistance level.  
• The Plomin hard fork proposal submitted for ratification introduces final governance features, transitioning Cardano into a fully governed blockchain system.  
• Governance ratification for the Plomin upgrade could occur between January 4 and January 29, enabling CIP-1694 and advancing Cardano’s ecosystem. 

Cardano (ADA), currently ranked as the ninth-largest cryptocurrency by market capitalization, has attracted significant attention with its recent price fluctuations. Notably, crypto analyst Ali has identified a price pattern for ADA that mirrors its behavior in a previous cycle. Drawing parallels to 2020, Ali suggests that ADA’s recent correction aligns with the timing of its first major pullback after a bull rally in that year. Should history repeat itself, the analyst predicts a potential price target of $6. 

Current Price Movement and Market Overview 

At the time of writing, ADA has declined by 4% over the past 24 hours, trading at $0.8825 following a weekend sell-off that triggered $246 million in cryptocurrency liquidations. Every week, ADA has faced a significant 19% drop.  

Earlier this week, ADA experienced a rebound after falling to $0.762 on Friday. However, the rally, which peaked at $0.997 on Saturday, lost momentum. By Sunday, the price fell to $0.869, approaching its daily simple moving average (SMA) at 50.  

Critical Support Levels and Potential Scenarios  

The bulls are now striving to defend critical support levels near $0.76. Failure to maintain this position may lead to further declines, with possible targets at $0.69 or even $0.50. Conversely, a successful rebound could drive ADA toward breaking the $1 resistance barrier.  

In parallel with price developments, significant progress has been reported on Cardano’s Plomin hard fork, an upgrade pivotal to the blockchain’s governance system. Intersect, a key organization within the Cardano ecosystem, recently announced that the governance proposal for the hard fork has been submitted on-chain for Input Output Global (IOG) and Stake Pool Operators (SPO) ratification.  

The Plomin upgrade is designed to introduce Cardano’s final on-chain governance features, transitioning the network from a technical bootstrapping phase to a fully governed system. This includes enabling full governance in line with CIP-1694, which sets the foundation for the blockchain’s future.  

Timeline for Plomin Ratification and Implementation  

Based on updates from Intersect, the earliest date for the hard fork enactment could be January 4, 2025, depending on SPO and ICC approval. Ratification might occur during any epoch boundary between January 4 and January 29, 2025, ensuring ample time for network participants to vote and prepare for the transition.