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As the altcoin era approaches, Cardano (ADA) is boomingwhich recorded more than a 14% increase last week, according to CoinMarketCap. Notably, the crypto analyst pointed to a strong buy signal for ADA, suggesting it may launch parabolic rally which could drive the price of Cardano to a new high of around $5.
Cardano New Buy Signal Triggers Rally At $5
On September 24, crypto analyst, TradingShot published detailed analysis and report on Cardano price movements, focusing on key technical indicators for forecasting future price of cryptocurrency. According to the analyst, Cardano is currently flashing one of the strongest long-term buying signals It can happen on a weekly basis.
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Based on this strong buy signal and other technical indicators, the crypto analyst predicts that Cardano it could start a new parabolic rally in the coming weeks. The expectation is that the higher trendline will set a resistance level ADA price movementswhich could cause an increase to $5.
Highlighting these technical indicators, TradingShot revealed that Cardano’s 1W Logarithmic Moving Average Convergence Divergence (LMACD) has finally made a bullish cross. In Cardano’s case, this bullish cross is the first to form since October 9, 2023, and is currently showing a strong buy signal push the ADA upwards.
Moving forward, Cardano’s Relative Strength Index (RSI), a momentum indicator that measures the speed and volatility of asset price movements, has been “steady” since May 2024. This means that the cryptocurrency has been trading below the 1W 50-period Moving Average. Average (MA50) on the weekly chart.
Based on these key technical indicators, TradingShot has drawn parallels between the previous crypto bull cycle and Cardano’s recent price movements. He saw that Current market conditions for ADA they were about the same as during the 2021 bull cycle. Meanwhile, a bullish Megaphone emerged from the 1W LMACD bullish cross, followed by a bearish formation created by the 1W MA50/MA100 cross while the 1W RSI was in a consolidation phase.
As a result, the analyst suggested that these repeated technical indicators are a signal that Cardano may prepare rally big price. He boldly predicted that ADA would rise from its current price of $0.38 to $5, marking the next high in this bull cycle.
Analyst Says “ADA Will Hit $1 Before Christmas”
Unlike TradingShot’s ambitious $5 ADA price predictionanother crypto analyst, identified as ‘Deezy.eth’ on X (formerly Twitter), has is given a definitive view of cryptocurrency. Deezy.eth predicts that Cardano will reach $1 before December 25, 2024.
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The analyst bases his good prediction on several factors that he considers bullish propellants for Cardano.These include the weekly ADA split, the start of a four-year rate cut, the recent introduction of Cardano Chang is a hard fork and ADA’s reduced appeal of “low float, high FDV.”
The featured image was created with Dall.E, a chart from Tradingview.com