Is Cardano Price Undervalued? Analyst Reveals ADA Target

Cardano has had an impressive rally in the month, gaining 40%. However, the recent market crash has paused this uptrend. The Bitcoin-driven drop isnt; like that something that an altcoin like Cardano could resist. However, if BTC resumes its upternd and kickstarts an alt season it could ADA could trend higher. One analyst explores if Cardano price is undervalued and reveals his target on  how high it could go in this bull cycle.

Is Cardano Price Undervalued?

To judge is Cardano price is undervalued or not, investors need to look to MVRV ratio, which is the Market Value to Realised Value (MVRV) ratio. The 30-day MVRV ratio fell to -3.10% for ADA which points to an undervaluation as more holders are in unrealized loss. Market participants pay much attention to the MVRV indicators to assess the general mood on the market and to define the right time to buy or sell.

As more investors are in profit, it can signify overvaluation, which signals a selling trend and, thus, a positive value of the MVRV ratio. Conversely, in the situation of the ratio falling below 0, as it does now, it is already pointing the Cardano price undervaluation and profitably increases the odds of price rebounds. The decline in MVRV and ADA’s recent price actions adds to the distrust of the project. 

Analyst Reveals’ Target for Next ADA Rally

A crypto analyst posted on platform X, talking about Cardano price, and according to the Elliott Wave analysis, ADA has potential to rise further. The chart shows the development of the third wave, with ADA poised for a fifth and final wave within that wave. This potential surge could present considerable upward thrust and the price targets are clearly defined in the analysis.

The analyst projects top altcoin to hit a resistance zone near $2.60–$2.80 as the next target. If the fifth wave unfolds as anticipated, ADA could achieve this level before facing a correction into Wave IV. The technical setup suggests strong buying activity, confirming the analyst’s optimistic outlook.

Profit-taking on ADA Rally is Done, Cardano Price Uptrend Likely

The Network Realized Profit/Loss indicator tracks actual gains or losses from coins moving on-chain. Every step which precedes a sharp decline in profit-taking is a possible indication of ADA price rebound. Recent data indicates profit-taking has been declining meaning the participants in the market may be holding, this has a positive impact on the price of Cardano.

At the time of writing this, the ADA price is at $1.05 and has fallen by 7% in the last day. This is following the slight market correction where the BTC price still remains below the $105k market support level.

Cardano’s recent metrics and technical analyses indicate strong bullish potential despite minor corrections. The MVRV ratio (-3.10%) suggests undervaluation, while Elliott Wave analysis points to a $2.60–$2.80 target. Market indicators hint at continued ADA growth opportunities.