The consolidated close near the year 2024 appears to have paved the way for massive bullish action. Most cryptos, including the surging Cardano (ADA) price, started a strong rebound from the crucial support zone, which kept bullish hopes alive. The price marked a 2-year high by rising above $1.2, which unfortunately attracted massive bearish activity, dragging levels down by over 30%. However, the latest rebound from midstream funds suggests growing bullish dominance over the token.
Can bulls revive a new high beyond the 2024 highs and reach $2?
The recent bull run helped the price break above the downtrend line it has held since rejecting 2021 highs. The token remained bearish throughout December, which forced it to close the yearly trade within a tight range. However, the bullish start to 2025 revived hopes of a bull run for the year, marking new highs above $3.
After a bounce from the 2023 lows, the rally triggered a decent rebound and formed higher highs and higher lows on the larger timeframe. This suggests the growing strength of the bulls that pushed the price above $1. The supertrend turned bullish after the recent bounce since the beginning of the week. However, the RSI went through a parabolic recovery curve and entered the overbought zone. Despite a correction below the upper boundary, the levels triggered a bullish divergence.
With the current price rebound, the token is poised to rise above the intermediate resistance around $0.968 and a rally above these levels could push the price past $1. Furthermore, the volume is undergoing significant compression, which could attract even more liquidity. Therefore, the Cardano (ADA) price could secure the resistance zone between $1.175 and $1.28, which has been a trend reversal zone before the end of the month, which could pave the way for the token to rise past $1.5 in the coming months.
Furthermore, if the market scenario remains bullish for the rest of the year, the price may maintain the bullish momentum and eventually mark a new ATH before the year ends.
