Cardano's price forecast suggests significant potential gains, with founder Charles Hoskinson predicting ADA could outperform Bitcoin. Despite recent holder outflows, ADA shows signs of a rebound, approaching the $1 mark.

Cardano's price has been trending downward, despite numerous updates from the development team. The upcoming Chang hard fork was expected to drive ADA prices up, but broader market conditions may have dampened this impact. ADA dropped 5% to $0.396 during the European session, with on-chain analysis revealing significant holder outflows ahead of the hard fork. Despite this, the ADA price chart indicates a potential bullish path to $0.68 in the coming days.

Hoskinson's Bold Prediction

Cardano founder Charles Hoskinson has stated that Cardano could replace Bitcoin in the future, citing Bitcoin's limited utility. In an interview with Altcoin Daily, Hoskinson argued that Bitcoin's upper limit is not very high, making it replaceable. However, Bitcoin's dominance might have contributed to ADA's recent 5% loss in value. ADA/BTC also fell 2% to 0.00000616 BTC.

Data from IntoTheBlock shows that Cardano whales are largely inactive, with inflow activity down 99.79% and an increase in outflows. This decline in activity might signal reduced investor confidence or portfolio rebalancing.

Bullish Setup and Key Levels

The Cardano price forecast indicates that despite a downtrend, ADA is showing signs of a potential reversal as it approaches key support levels and forms a bullish pattern. The multi-month falling wedge pattern on the ADA chart suggests a possible reversal. A rebound from the upper trendline of this wedge could trigger an impulsive upward move. Currently, ADA is trending below the 50-day ($0.4181) and 200-day exponential moving averages (EMA), indicating a bearish trend, but it is attempting to break above the 50-day EMA.

Key resistance levels to watch are $0.46, $0.54, and $0.60. Cardano's price may correct lower to $0.36 before rebounding by 87% to $0.68. Important support areas include $0.33 and $0.28.

Technical Indicators

  • Relative Strength Index (RSI): The RSI is at 44.60, showing a slight bullish divergence. It crossed below its 14-day SMA, suggesting potential short-term bearish momentum before a price reversal.

  • Chaikin Money Flow (CMF): The CMF is at 0.13 but has been consolidating since July 13, indicating minimal but present capital inflow and buying pressure.

Overall, technical indicators suggest an initial correction followed by a significant price surge for ADA. The market will be closely watching these developments as Cardano aims for a substantial recovery and potential gains.

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