The strong performance of the ADA/USDT pair in the last two days has boosted bullish Avalanche price predictions. During the previous four days, Cardano has had a 40% price spike, surprising those with bearish Cardano price predictions. This has made the ADA token one of the best performing tokens this Tuesday. This puts the ADA/USDT pair’s performance on a 4-day winning streak.
The fundamental trigger for the advance in the ADA/USDT pair comes from the news of the release of the Ethereum-based USDC bridge to Milkomeda decentralized platform. The bridge allows the cross-linking of tokens from other platforms into Cardano Native Asset. This new bridge is expected to take the network’s interoperability to the next level.
The rally in the Cardano price has sent it back to the 6th position in the list of the most capitalized cryptos. This takes it above Ripple. On-chain data from Santiment details increased activity on the Cardano blockchain. Over five million NFTs have been mined on the Cardano blockchain in the last two days, and the number of transactions has increased.
There has also been a spike in the total value locked (TVL). With the number of wallets growing by hundreds of thousands since April, the increased ownership indicates ongoing silent demand. The ADA/USDT pair may have staged a sharp uptick in the last two days, but the asset remains in a downtrend, and sellers may simply be seeking new areas to initiate shorts.
The uptick of the day is challenging the 0.6829 price barrier. This resistance is reinforced by the trendline that connects the highs of 4 April and 5 May 2022. A break above this level creates access to the 0.7793 resistance (11 March low and 7 May high). Additional targets to the north are found at the 0.9207 price mark (26 February and 22 April highs) and also at the 1.0729 price barrier (30 January and 10 April 2022).
On the flip side, rejection at the 0.6829 resistance allows for a pullback to the 0.5287 support. Further price deterioration brings 0.4002 into the picture, but this is conditional on the bears breaking down the 27 May low at 0.4481. 0.2879 and 0.1808 are additional targets to the south.
This post was last modified on May 31, 2022, 13:50 BST 13:50