In sync with the entire market, Cardano Price too stooped low to $1 in the last month. Since then it has been on an uptrend. The first recovery pump almost touched $2 and eventually faced correction. The tug of war between bulls and bears has now reached a consensus at a $1.8 resistance level. ADA Price road further looks merry as it is poised to have a huge surge.
Will Cardano price hit $5?
Cardano (ADA) needs to close above the 1.82 marks and sustain the price above that supply. once it closes above that level it could easily reach ATH ($2.40 ). if Cardano maintains the current price movement, the crypto coin might skyrocket past key resistance levels to register a new all-time high price at around $5.
At present, Cardano appears to exhibit the right signs that its ongoing bull run is gaining strength. The altcoin has been showing high lows of late, reflecting a potential price trend past the ascending triangular channel. Most often than not, the ascending triangle pattern usually signals the start of a bullish campaign in regards to technical analysis. In the case of Cardano, a massive breakout is likely to happen before the trend lines meet.
Leading crypto analyst Michael van de Poppe recently posted a video explaining why he remains bullish on Cardano, as he expressed optimism that its price could soar to as high as $5 soon, making it the fourth-largest cryptocurrency by market cap.
The analyst mentioned the key resistance at the $1.80 level, just below which the ADA/USD is trading at present, and hoped that a break above this could power an uptrend all the way to $3.35.
Top Catalysts That Will Fuel the ADA Price Rally
Cardano decoupling from Bitcoin
The good old narrative of the altcoins herd following Bitcoin’s narrative seems to be fading away. Altcoins now have an ecosystem and services that enable real-world solutions, and Cardano is the best exhibit to prove this.
Cardano has decoupled from Bitcoin and has jumped over 700% versus BTC. Although the severe fall in May sent the pair to the cheat breakthrough level, that was immediately erased, and the ADA/BTC pair is now nearing the 2021 high.
The ADA/BTC pair is currently trading far below its all-time high set in 2018. Nonetheless, Cardano’s impulsive trajectory since the start of 2021 has positioned it to prolong its relative outperformance in the medium run.
Cardano is wooing institutional interest
Last month’s report from Coinshares Digital Asset Fund Flows reveals Cardano has captured the largest institutional inflows at $10 million. It was the second week in a row that ADA inflows increased. YTD inflows for Cardano institutional investment products to $24 million. Despite the market’s downturn, institutional investors were buying ADA.
This week’s report says inflows to Cardano institutional products total $5.2 million. It’s the third week in a row, bringing ADA’s YTD inflows to $29 million. This interest from institutional investors in proof of stake coins acts as a factor to price growth in the long term.
The Green Coin Factor
Elon Musk recently decided to not accept Bitcoin due to the impact of mining on the environment. This decision has put the limelight on potential Green Coins.
Cardano takes the forefront here, as it is an eco-friendly green coin since it was designed to use far less energy than Bitcoin and Ethereum.
The Cardano blockchain has an energy-efficient proof of stake consensus that relies solely on other ADA holders to confirm transactions, eliminating the miner rewards that are central to Bitcoin. As a result, the network is more efficient and consumes less energy.
Conclusively, Cardano has the potential to give great returns as it is fueled by the above three factors. It is expected to rise 340%($7.5) to the 138.2% Fibonacci retracement level of the 2018-20 bear market.