Cardano (ADA) rallies double digits in 24 hours – what’s ahead?

Key Cardano Takeaways:

• Smart contract platform Cardano’s native token ADA soared 16% in two days, against the stagnant crypto market.
• SundaeSwap mainnet launch announcement might have fuelled the rally.

YEREVAN (CoinChapter.com) – On Jan 10, Cardano (ADA) retested a significant support trendline at $1.04. Since then, the bulls have been persistent, ensuring a 36% uptrend and bringing the ADA/USD exchange rate to 1.51 in Monday’s European session.

However, a closer look at the four-hour chart revealed a possible double-top pattern that could take ADA back to the $1.04 support. In detail, the double top occurs when the price action reaches two consecutive highs at the same level, with a moderate decline in between.

Cardano’s chart showed that ADA’s rally halted at $1.50. The digital asset could accumulate and break out above the resistance indicated below. However, if it follows the double top, a 30% tumble could be in the cards.

Also read: Bitcoin docile at $42k as Cardano takes charge with 8% surge

While the technicals flashed warnings for Cardano, its fundamental developments continued, as the company announced SundaeSwap mainnet launch would commence on Jan 20, 2022.

SundaeSwap mainnet launch

SundaeSwap, the first decentralized exchange (DEX) on Cardano, will launch as a fully-functional beta DEX on the mainnet on Jan 20, a month after the testnet launch. According to the announcement, its initial securities offering (ISO) reward calculations will start on Jan 25.

ISO participants must delegate ADA to qualifying ISO Scoopers prior to 21:45 UTC on January 25th to be able to earn SUNDAE for all five ISO rounds.

clarified the project.

Additionally, the smart contract platform dipped its toes in the Metaverse sector and launched the Pavia.io project. However, the company noted that while the latter will not be the main focus in 2022, it will be “hot on the hills” of projects like Decentraland and Sandbox on Ethereum.

Parameter adjustments, improvements, enhancements, and other innovations will all play their part in steadily increasing Cardano’s capacity & throughput during 2022.

noted Cardano in a recent post.

Also read: ADA eyes rebound from pandemic era support as Cardano becomes a GitHub star.

Cardano ecosystem grew with multiple projects in 2022, and the company confirmed that there are more to come. So while technicals indicate a possible decline in the upcoming sessions, the fundamental developments paint a more bullish picture.