Cardano (ADA) is crucial following days of heightened volatility and excitement among crypto investors. While other altcoins have experienced significant pumps, Cardano has yet to see the same breakout, leaving analysts and traders searching for confirmation of a bullish trend. 

Despite the lack of a major move, optimism remains high for ADA as market watchers await a signal to ignite the rally.

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Top analyst and investor Carl Runefelt recently shared a technical analysis suggesting that Cardano could be on the verge of a bullish rally, potentially pushing ADA to $0.54. 

This prediction has generated excitement within the Cardano community, but the next few days will be critical in determining whether ADA can follow through with a breakout. 

As the market remains volatile, traders will closely monitor Cardano’s price action for signs of a confirmed uptrend.

Cardano Holding Above Key Level

Cardano is trading above a key resistance level at $0.33, sparking optimism among analysts and investors. This crucial price point could be the springboard that propels ADA to new highs. 

Analysts in the crypto community believe that Cardano is poised for a breakout, and some expect a rally in the coming days.

Prominent investor and analyst Carl Runefelt recently shared a technical analysis on X, highlighting a bullish pattern forming on Cardano’s chart. According to Runefelt, if ADA manages to break this pattern to the upside, the next target could be as high as $0.54, representing a potential 58% gain from current levels. 

This prediction has generated excitement, as ADA holders are looking for signs of a sustained upward trend after a period of consolidation.

However, not all scenarios point to a smooth ride for Cardano. If ADA fails to break above this pattern, further consolidation or a potential correction could be on the horizon.

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The $0.33 level is now a key marker for traders and investors to watch closely in the coming days, as it could signal the beginning of a major price move—or the continuation of a more uncertain path for Cardano.

ADA Technical Analysis

Cardano’s (ADA) price action has been underwhelming compared to other altcoins. Currently trading at $0.34, ADA has seen a 7% decline from its recent high of $0.37 set on Tuesday. Despite some volatility, the price remains below the critical 200-day exponential moving average (EMA) at $0.40, following a failed breakout attempt in late September.

For the bulls to regain control, ADA must reclaim the $0.40 level and push toward setting a new local high above $0.41. A breakout above these levels would signal a potential momentum shift and spark renewed optimism among investors.

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However, exceeding the $0.34 mark could lead to further downside pressure. If this level is lost, a correction to lower demand areas around $0.30 is expected. Traders are watching closely, as this level could determine whether Cardano will continue to underperform or regain its footing in the market.

Featured image from Dall-E, chart from TradingView

The last two weeks disappointed crypto investors as the market failed to show the ‘Uptober’ rally. While the early-month sell-off can be attributed to the Israel-Iran war, most major altcoins are yet to reveal bottom formation, indicating the possibility of prolonged correction. Thus, the investor can consider selling this crypto and avoid further losses in October. 

Top 5 Cryptos to Sell Before Further Losses in October

Since last weekend, the crypto market witnessed a renewed recovery trend as Bitcoin rebounded from the $60,000 psychological level. The bullish turnaround uplifted the price by 9% to trade at $65,311 while boosting a relief rally in the altcoin market. However, the onchain analysis of these five crypto hints has the possibility for prolonged correction. 

Toncoin (TON)

Toncoin, the cryptocurrency related to the Telegram message app, showcased a notable correction of $8.17 to $5.28 in the last 100 days, registering a 35% loss. A downsloping trendline drove the bearish momentum with lower higher formation, indicating sell-the-bounce sentiment.

Since last August, TON’s 24-hour active addresses have dropped sharply from 1,978 to approximately 207, according to Santiment data. This declining trend indicates reduced network activity and could negatively impact price growth.

Therefore, with sustained selling, the Toncoin price could plunge 13% before seeking suitable support at the $4.6 line.

Cardano (ADA)

Over the past two months, the ADA price has showcased a sideways action, hovering above $3 support. The consolidation confined within two converging trendlines indicates the formation of a continuation pattern called a symmetrical triangle pattern.

Theoretically, the pattern could replenish the Cardano’s prevailing bearish momentum and drive an extended downfall.

In addition, the whale wallet with 1 Million to 10 Million crypto has significantly reduced their holding from 12.86 to 12.19 Billion ADA, registering a 5% drop. This decline often coincides with major market tops as large investors might be losing confidence and reallocating their assets.

Shiba Inu (SHIB)

Since June 2024, the Shiba Inu price prediction showed a lateral trend, struggling to sustain above the $0.00002 level. This high supply zone has been renewing selling pressure for SHIB traders, prevailing the asset from a sustained rally.

By press time, the SHIB price had traded at $0.000018, with a market cap of $10.87 billion. Amid the current market recovery, the price could rechallenge the overhead resistance, indicating a pivotal moment for this dog-themed meme crypto.

However, the Shiba Inu supply held by the top address has remained steady at 61.2% since March 2024. Despite receiving a significant price discount, the lack of movement in this metric suggests that major holders show little interest in increasing their positions.

Litecoin (LTC)

Litecoin, often called the “silver to Bitcoin’s gold,” has been trapped in a sideways trading pattern since March 2022. The prolonged consolidation phase shows a lack of decisive action from both buyers and sellers, indicating that significant price movement is unlikely in the near term

Moreover, the 30-day Market Cap to Realized Cap Ratio (MVRV) has soared to 27%, indicating that short-term traders are profitable. The historical data shows these speculative trades often opt for early profit booking, which results in initial volatility and local market top.

If the theory holds, the Litecoin price prediction could extend the retracement trend below the $60 line and retest $52 support.

Worldcoin (WLD)

Worldcoin (WLD) has recently shifted its prevailing downtrend sideways above $1.27. The horizontal support pushed the asset 85.7% to trade at $2.385, providing a recent breakout of $2.175.

While this breakout could drive further rally, the WLD supply on exchange has doubled since mid-April, reaching 72.9 million coins. The sharp increase in supply available on the crypto exchange raises the risk of potential sell-off while limiting growth potential. 

Conclusion: 

The current market trends indicate potential continued corrections for Toncoin, Cardano, Shiba Inu, Litecoin, and Worldcoin. Key factors such as decreased network activity, reduced whale holdings, and increased supply on exchanges are creating bearish momentum for these assets.

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Sahil Mahadik

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.