Cardano Price Targets $0.46 Amidst Market Surge; Best Time to Enter?

On July 13th, the crypto market witnessed significant buying pressure as the 4th largest cryptocurrency- XRP registered a massive rally. With the positive sentiment, the Cardano coin rallied 23% and breached the $0.3 monthly barrier to reach the $0.356 barrier. Is this rally sustainable or just a ripple effect from XRP growth?

Also Read: Bitcoin Price Pushes Past $31k as US Judge Rules XRP Not A Security – Rally to $38k Impending?

Cardano Price Daily Chart

• After a significant rally, the ADA price is poised for minor correction before making the next leap.
• The ADA price faces high supply pressure from the 200-day EMA, indicating the market trend is still bearish.
• The intraday trading volume in the ADA coin is $216.6 Million, indicating a 10% loss.

Source- Tradingview

For over a month, the Cardano price struggled to break the $0.3 psychological barrier. However, amid the recent boost in the crypto market, the ADA price made a sharp surge beyond the aforementioned barrier and hit the next significant resistance of $0.35.

Earlier today, the buyers tried to follow up on this rally, but profit booking from short-term traders must have brought more supply pressure to reject their attempt. By the press time, ADA’s price trades at the $0.34 mark with an intraday loss of $3.479.

This rejection projected a possible correction that could pull the prices back to $0.345 aligned with the 23.6% Fibonacci retracement level, followed by $0.32(38.2% FIB), and $0.3(50% FIB). The Cardano price sustainability above the mentioned levels could fuel the next upswing.

Can ADA Price Hit $0.46?

The recent price jumps in Cardano price bolstered the formation of a bullish reversal pattern called the double bottom pattern. In theory, this pattern is often spotted at the market bottom and offers a strong upswing to set a recovery rally. Thus, under the influence of this chart setup, the coin price is likely to challenge the $0.462 neckline resistance to complete this pattern.

• Vortex indicator: The widespread as the VI+ rises far from the VI- is a sign of increasing bullish momentum.
• Exponential Moving Average: With the recent price surge, the reclaimed daily EMAs(20, 50, and 100) could offer significant support.