Cardano (ADA) appears to be forming its eighth consecutive bullish candle. As ADA shows an upward price movement, it also breaks a long-standing horizontal resistance level. Similarly, Avalanche (AVAX) also demonstrated strong performance and was among the altcoins that made investors the happiest throughout the day.
The Future of Cardano (ADA) Coin
When reviewing ADA’s price on a weekly timeframe, it can be seen that it has risen strongly since October. This is reflected in the charts as it looks to form its eighth consecutive weekly bullish candlestick. The upward movement reached a peak of $0.62 today. This represents the highest level seen in 2023 and a level not seen since September 2022.
In addition, the price movement allowed for a break above the long-standing horizontal resistance area that has been in place for 430 days. The Relative Strength Index (RSI) is one of the most watched metrics by investors. The RSI’s overbought or oversold conditions give investors insight into potential market entry opportunities.
If we were to make a brief definition regarding the RSI, situations where it stays above 50 reveal an uptrend and reflect that the bulls still have the advantage. When it stays below 50, it shows the market participants the exact opposite.
The weekly RSI continues to rise and is trading above 50. Moreover, it can also be seen that the RSI has entered the overbought zone (green icon). If we need to recall the last time the RSI entered the overbought zone (green vertical trend line), an upward movement that took the ADA price to its All-Time High (ATH) had occurred in the following period.
Cardano (ADA) Coin Price Prediction
In the technical analysis examined, we see that the number of waves and the RSI movement support the upward movement of the ADA price. Technical analysts use metrics other than the RSI to determine the trend direction. In this context, the Elliott Wave theory is one of them.
In the wave count review, it is seen that the ADA price is in the third wave of a five-wave upward movement. While it is thought that the length of the third wave, which is thought to be in, should be 2.61 times the length of the first wave, the potential price is also indicated as the $0.70 point. A 40% increase in ADA price must occur to reach this level.
Despite this increase prediction in ADA price, a fall below the first high wave of $0.38 (red trend line) could mean a correction could occur after the increase. If this happens, the ADA price could fall by 40% and retreat to the next support at the $0.30 level.
Latest on Avalanche (AVAX)
Another altcoin that drew the most attention along with Cardano (ADA) today is Avalanche (AVAX). AVAX has increased by 156% in the past 30 days. Since the beginning of 2023, there has been a 205% increase in the AVAX price. AVAX is currently trading at $33 with a positive movement of 9% in the last 24 hours.
However, it is worth noting that it is still approximately 71% lower than its ATH level in 2021.
Like Solana, Avalanche is also referred to as a potential “Ethereum killer.” Its network speed and transaction processing capability bring it to the forefront in areas such as decentralized finance (DeFi), blockchain games, and Web3.
Amazon is among the major companies that believe in Avalanche’s potential. The giant company announced in January that it had partnered with Avalanche to offer blockchain-related services to corporate and public customers through Amazon Web Services (AWS).
Disclaimer: The information in this article does not contain any investment advice. Investors should be aware of the risks associated with cryptocurrencies due to their high volatility and should conduct their transactions in accordance with their own research.
