Cardano (ADA) has achieved a major milestone by reaching the $1 price level, signaling renewed market activity and growing investor interest.
Analyst Dan Gambardello has shared insights on ADA’s market status, technical patterns, and long-term potential. On-chain data reveals increased institutional activity, raising speculation about future growth.
ADA’s $1 Milestone and Market Overview
The $1 mark represents a psychological level for Cardano, last observed during the 2022 bear market. Dan describes this level as a testament to Cardano’s resilience, reflecting its ability to withstand challenging market conditions.
Despite this achievement, analysts argue that ADA remains undervalued compared to its competitors, suggesting room for further growth. Market sentiment indicates cautious optimism.
While Cardano’s price has reached a critical level, the broader crypto market conditions and ADA’s relative undervaluation offer a mixed outlook for investors.
CARDANO BREAKS $1 (ADA SEVERELY UNDERVALUED)Intro 00:00Groundwork 2:10Institutions 3:30Cardano starting line 7:00ADA undervalued 10:25ADA target hit 14:15Cardano price action and big dips 16:30Next target to upside 21:45Bull market targets 25:15Having a plan 26:50 pic.twitter.com/dSOFmh0t8m
— Dan Gambardello (@cryptorecruitr) November 22, 2024
Technical Analysis: Upside and Risks
From a technical perspective, ADA has shown overextension, trading more than 70% above its 20-day moving average. This aligns with historical trends, such as those observed during the 2020 cycle, suggesting potential retracements of up to 40%.
Moreover, Dan anticipates a short-term pullback to around $0.60 in bearish scenarios.
However, upside potential remains strong. The analyst highlights $1.25 as a short-term resistance target, while projecting long-term goals of $7 to $14. These projections are based on market capitalization growth to $250 billion and $500 billion, respectively.
Institutional and Whale Activity in Focus
On-chain data reveals a 300% increase in large transactions involving ADA, driven by heightened institutional and whale activity. Dan speculates this surge may be linked to potential ADA-backed ETFs, signaling growing confidence among major investors.
Large whale holdings now exceed $12 billion, a level analysts equate with preparatory moves for broader market participation. This institutional engagement is seen as a pivotal factor for ADA’s long-term trajectory.
Read also: Why Is Stellar (XLM) Price Up?
Broader Developments and Cautionary Notes
Cardano’s development ecosystem is expanding with initiatives such as Bitcoin OS integration, which aims to enhance cross-chain transactions.
Dan also discusses the potential use of Cardano’s technology in blockchain-based voting systems, emphasizing its broader utility. Despite positive trends, market volatility remains a concern.
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The post Cardano at $1: Whale Activity and ETF Rumors Spark Excitement—Will ADA Price Reach $7? appeared first on CaptainAltcoin.
