Bitrabo Editorial
Cardano (ADA) might be heading towards a substantial price surge as a crypto analyst spots a promising “insane bullish divergence” in the ADA/BTC price chart, hinting at a possible 10X rally in ADA’s price.
Factors Driving a Potential 10X Surge in Cardano Price
A well-known crypto analyst, Dan Gambardello, has shared his positive forecasts for the price of ADA, the native token of the Cardano ecosystem. By examining the ADA/BTC price chart, Gambardello has identified a bullish divergence pattern that indicates a potential price recovery for ADA.
A bullish divergence typically occurs when a cryptocurrency, such as Cardano, reaches a new low while the Relative Strength Index (RSI) indicator does not. This situation implies that ADA’s downward trend may be losing momentum, suggesting a forthcoming bullish price reversal and uptrend.
Analysis of Gambardello’s ADA/BTC price chart, covering Cardano’s price relative to Bitcoin over time, reveals a similar bullish divergence pattern that occurred approximately four years ago.
Back then, Cardano experienced a remarkable price surge of over 1,000% against Bitcoin, leading to its climb to new all-time highs of $3.10 in September 2021. Given this historical cycle, Gambardello speculates that the current ADA/BTC bullish divergence could pave the way for another significant price increase for Cardano, possibly resulting in a 10X surge from its current value of $0.319 to over $3.
Analyst’s Outlook on ADA Revisiting Previous Price Peaks
The DApp Analyst, a market research and marketing entity focused on DeFi projects within the Cardano ecosystem, recently discussed the potential future performance of ADA, foreseeing a substantial 860% rally to revisit all-time highs above $3.
Based on economic factors and market history, The DApp Analyst predicts that Cardano’s price is poised for a significant upsurge, particularly as the Federal Reserve (FED) may transition towards a more lenient monetary policy with reduced interest rates and increased money supply by the first quarter (Q1) of 2025.
Moreover, the analyst notes the shift in Cardano’s perception from a speculative asset to a more credible investment and draws a correlation between declining US 1-year Treasury bond yields and rising ADA prices. Past trends indicate that as bond yields decrease, the value of Cardano has surged, even outpacing Bitcoin.
Building on this historical trend, the analyst anticipates a potential altcoin season in 2025, projecting significant price growth for cryptocurrencies like ADA.