Cardano price continued with its strong rally on Saturday, gaining 9.3 percent to trade at $0.446 at the time of writing. With that, ADA has risen by 32.4 percent in the last four sessions, underlining the strong bullish momentum. Furthermore, its 24-hour trading volume was up by 183 percent, raising the prospect of a stronger upward move in the near-term. A rise in the traded volume of an asset during a upward momentum typically signals bullishness.
Despite its recent gains, Cardano price is still down by 25 percent year-to-date. That shows many of ADA holders could still be in “out of the money” position, which could incentivise them to hold on to the asset during the rally. The risk, however, is that any sign of a weakening upward momentum could potentially lead to a selloff, exerting downward pressure on the price.
While the current crypto market rally is not unique to Cardano, and is attributed to Donald Trump’s election win, the coin outperformed the rest of the market in the last 24 hours. Market bellwether, Bitcoin was down by 0.1 percent, while Ethereum was up by just 1.4 percent. Cardono’s peers, Solana and Tron were up by 1.9 percent and 0.2 percent respectively.
The momentum on Cardano price favours further upside above 0.441 That could see further gains to the first barrier at 0.450. However, a sustained upward push could result in a break above that level to test 0.460. Conversely, moving below 0.441 will favour the sellers to be in control, with the first support likely to come at 0.434. However, if the sellers extend their control, the price could break below that level and render the upside narrative invalid. The resulting momentum could extend losses to test 0.427.
This post was last modified on Nov 08, 2024, 17:47 GMT 17:47