Crypto News

Cardano (ADA/USD) Eyes $2.3 High on Bull Triangle Breakout

Cardano (ADA/USD) Eyes $2.3 High on Bull Triangle Breakout
Cardano (ADA/USD) Eyes $2.3 High on Bull Triangle Breakout

Yerevan ( — Cardano (ADA/USD) could hit $2.3 in the coming sessions.

The fifth-largest cryptocurrency by market cap now trades inside a Symmetrical Triangle. In general, these Triangle patterns are trend continuation signals, i.e., the ability of an asset to continue in the direction of its previous bias — upside or downside — after a brief consolidation period.

Cardano expects to undergo a bullish breakout move should its price break above the Triangle’s upper trendline with a rise in volumes. Should it happen, the ADA/USD exchange rate would set its upside target at a height equal to the length of its previous uptrend.

Cardano eyes breakout of its Symmetrical Triangle pattern. Source: ADAUSD on
Cardano eyes breakout of its Symmetrical Triangle pattern. Source: ADAUSD on

Assuming that ADA/USD would break out at the Triangle’s apex — the point where the pattern’s upper and lower trendlines converge, the pair’s upside target would be $1.11 higher. That puts the Cardano price en route to $2.31 in the best-case scenario.

Cardano Fundamentals

The token has surged by more than 580 percent this year as Cardano gained an advantage over its top competitor Ethereum.

The latter experienced massive transaction and gas fees issues in the first quarter, leading to cases wherein users paid as much as $50 to send a $5 across the Ethereum network. Projects like Cardano and Binance Smart Chain presented themselves as alternatives, with the value of their native tokens rising alongside owing to heavy speculation.

More tailwinds for ADA/USD came from Cardano’s transition from a federated network managed by its namesake foundation to a community-run protocol via an upgrade called “Shelley.” The update proposes to make Cardano a proof-of-stake protocol that allows users to participate in the transaction validation process either directly by operating a stake pool or indirectly via delegation in exchange for staking rewards.

With fundamentals intact, it appears Cardano would avoid deeper downside retracement. Nevertheless, a potential invalidation of the Triangle pattern would risk crashing ADA/USD to 0.95 in the short-term.

Photo by Rafael Garcin on Unsplash

How useful was this post?

Click on a star to rate it!

Lilit Chichyan

Lilit is an enthusiastic writer, skilled in 3 languages, and interested in writing about the tech world, trading, art, and science. She also has a background in psychology and marketing, which helps deliver the right message to the target audience. Lilit is creative and fast and has the experience of writing for both big marketing companies and small websites and blogs.

Related "Cryptocurrency" News

Coinbase Beats Crypto-Friendly Intercontinental Exchange In Wall Street Debut
Coinbase Global Inc. delivered an $86 billion valuation in its trading debut on Wall Street, beating bigger and older...
Exodus Raises Nearly $60 Million In Public Offering
Los Angeles (CoinChapter) – Crypto wallet provider Exodus raised just under $60 million from investors in a successful regulated...
Coinbase (COIN) Stock Receives Reference Price Of $250
Los Angeles (CoinChapter) – Major United States-based crypto exchange Coinbase (COIN) has received a reference price of just $250...
Filecoin Hardfork Upgrade To Be Supported By Binance
Los Angeles (CoinChapter) – Major cryptocurrency exchange Binance announced that it will support the activation of the Filecoin (FIL)...
Kraken Considering Going Public In a 2022 IPO Motivated By Record Volume
Long Beach (CoinChapter): Crypto exchange Kraken is considering going public through a direct listing in 2022. The decision is...
Bank Of Thailand To Pilot CBDC In 2022
Los Angeles (CoinChapter) – The Bank of Thailand revealed plans to begin tests on a retail central bank digital...