The price of Bitcoin finds buyers at the promising level of $37,800 and could surpass $38,000 today. Despite profit-taking, the price staying above $37,600 is a positive sign. This breakout could open the door to expected parabolic rises for altcoins. Particularly, Cardano (ADA), one of the largest ones, is now giving a reversal signal.
Since the beginning of 2023, ADA Coin price has been trading in a sideways range. Although it gave a significant bearish signal by breaking a critical level in June, it indicates the involvement of long buyers with long lower wicks. After the low point in October, the altcoin gained momentum and reached $0.41 last week. This is just below the 2023 peak of $0.46.
The RSI supports the upward movement. Some optimistic analysts stand out among the others. For instance, Crypto Merlin, a crypto commentator, tries to predict future price movements using data from previous cycles and makes bold statements claiming that a double-digit price is possible.
CryptoBusy, on the other hand, says that the price will continue its path depending on the strong resistance at $0.40. It emphasizes that if ADA breaks this resistance, we can expect a significant upward movement and we should be prepared for it.
The good news is that as this article is still being written, BTC has already broken the $38,000 resistance. This indicates that ADA Coin’s price can also break the mentioned resistance (if BTC continues like this). While weekly chart readings are uncertain, the daily chart gives a bullish signal. ADA has surpassed the horizontal resistance levels of $0.30 and $0.35 during the rise and is creating bearish divergence in RSI.
It appears highly likely for ADA’s price to move towards the next nearest resistance at $0.45. However, if there are closures below $0.35, a rapid selling period towards $0.30 can be experienced.
