As the trade is heading towards the end of the month, the market dynamics appear to be changing frequently. Cardano, who once appeared to be dead, is demonstrating the huge possibility of initiating a strong ascending trend. The token broke above some crucial range, which has revived the possibility of starting a fresh bullish spell in a short while from now. In the meantime, the bears continue to be hopeful, which may raise some concerns over the next price action.
Historically, the start of the last quarter has been extremely bullish for the entire crypto space. A similar breakout has occurred in 2023 and hence, the latest rise could prove to be a crucial one in determining the next course of action. The price has already breached the important resistance, but it needs to validate the breakout, which may occur only if the ADA price meets certain conditions.
The weekly chart of Cardano indicates the token is slowly rising above the bearish captivity. The weekly MACD displays a massive drop in the selling pressure while the levels are about to undergo a bullish crossover. Besides, the Ichimoku cloud continues to flash bearish signals with less possibility of a bullish crossover shortly. Therefore, this technical formation points towards an extended consolidation until buying pressure mounts over the token.
Regardless of a massive drop in volatility, the Cardano price continues to remain stuck within the top 10 crypto rankings. The token is currently battling with 50-day SMA & EMA, while the drop in the volume hints towards short-term pullbacks before initiating a strong upward movement. Therefore, the Cardano (ADA) price rally is expected to kick off shortly and may potentially form a new ATH in 2025.
