Will Cardano Price Ever Make it to ATH?

During Tuesday’s U.S. market session, the ADA coin plunged 0.4% to a trading value of $0.36. The slight downtick signals the continuation of a five-month sideways trend and price sustainability above the $0.3 line. However, will the consolidation build sufficient momentum for Cardano price to hit ATH again?

Cardano Price Correction from ATH of $3

The layer-1 cryptocurrency Cardano has witnessed a significant correction trend since hitting its all-time high (ATH) of $3.10 in September 2021. Over the past year, the altcoin lost nearly 88% in value to settle at $0.364, while the market cap plunged by $12.78 billion.

However, the Cardano price has shifted the prevailing downtrend to a sideway, projecting the asset’s sustainability above the $0.2 line. If the buyers plan to utilize the bottom support for reversal, the 4th quarter of the year could be a suitable time.

Historical trends show that the crypto market often witnesses a highlighted investor activity at the end of the year. Generally, the bullish trajectory gains momentum in what market participants called the ‘Uptober,’ allowing most major cryptocurrencies to drive renewed recovery.

For this detailed analysis, check out the top Layer 1 crypto article.

ADA Price Analysis: Cardano Fractal Hints New ATH

The Cardano price analysis shows the history of staging pre-bull market rallies during the fourth quarter, which often precede larger, sustained bull runs in the following months. An observed from 2019 price behavior signals an initial from the prevailing downtrend, which drives a bait or temporary recovery for crypto buyers.

After a notable period of consolidation, the buyers managed to build sufficient momentum for a sustained bull run. This post-breakout rally topped the current ATH of $3.1.

Thus, the ADA price showed a similar pre-bull market breakout in late 2023, which reached a high of $0.81 in March 2024. While the last seven months’ correction has significantly evaporated gains from prior rallies, the ongoing Quarter could offer the next breakout.

Based on the current fractal pattern, the coin price should breach the overhead trendline (marked in black) to kickstart its next bull run. With sustained buying, the altcoin is set to surpass the current ATH resistance and hit the $5 psychological level.

As the Cardano price currently trades at $0.36, the crypto buyers need to drive a 1288% rally to reach the desired target of $5.

ADA Faces New Challenges Despite Bullish Fractal

While the fractal pattern offers an optimistic view, it is important to note that Cardano is an older altcoin. As new emerging coins and innovative projects enter the market, the Cardano coin could crash as it struggle to attract investors’ attention.

Therefore, potential investors must remain cautious and remember that past performance does not guarantee future results.

Conclusion:

Cardano’s historical fractal patterns suggest a potential bull run after a major breakout in Q4. If history repeats, the ADA price could target $5, but the bullish momentum could struggle considering the alternative investment options in the market.

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Sahil Mahadik

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.