Cardano (ADA) has gained attention following a strong rebound from the $0.6822 support level, generating optimism among traders. This resurgence could signify a turning point for ADA's uptrend, as the increased buying interest highlights a shift in market sentiment towards the bulls.
The current advance towards the $0.8119 resistance level indicates a positive trend, especially as ADA trades above the 100-day Simple Moving Average (SMA) on the 4-hour chart. This position not only confirms the bullish outlook but also strengthens the possibility of further gains if ADA surpasses the resistance.
The 4-hour Relative Strength Index (RSI) shows rising buying pressure with attempts to climb above 70%, which points to strong overbought conditions and suggests robust demand. A breakout in the RSI performance could lead to additional price increases.
On the daily chart, a bullish candlestick formation underscores the asset’s strength, while the daily RSI, positioned at 80%, reflects optimistic sentiment. The higher RSI suggests overbought conditions but also indicates continued strength and possible upward potential.
Targets for ADA focus on maintaining momentum and breaking the $0.8119 resistance level to pave the way towards the $1.26 resistance, potentially setting the stage for a price surge. Failure to overcome resistance might lead to corrections or consolidation at key support levels.
