ADA could hit new highs in the coming months
Popular crypto channel host Coin Bureau gives a reason why Cardano (ADA) price could bounce back and hit a new all-time high in the coming months.
ADA rebounded to an all-time high of $ 3.1 in early September but has since suffered a sharp price correction of more than 60%.
The seventh-placed crypto asset by market capitalization is currently trading at $ 1.21.
In one Video Coin Bureau analyst Guy says there are several reasons to be optimistic about Cardano.
“The good news is that many institutional funds are exposed to ADA, such as Grayscale’s Digital Large Cap Fund, and it appears that some of these funds have accumulated ADA over the past few months.
More Cardano DApps are also slated to roll out in the coming months, and these will likely generate the demand ADA needs to conquer the former ATH.
Last but not least, ADA’s long term technical indicators suggest it could climb as high as $ 4 in the coming months, assuming a break of the resistance area at $ 1.70 is possible.
Guy noted that if ADA fails to break above $ 1.70 it could create a head and shoulders pattern, a pricing structure used to detect trend reversals. Such a reversal could bring ADA back to 2020 lows below $ 0.30, according to the analyst.
“I strongly doubt this scenario because Cardano has so many important milestones ahead of them that could easily push ADA to a new all-time high.”