According to Coin World’s report, the price of ADA has risen by over 6% in the past seven days. Market sentiment around ADA has turned optimistic, although some indicators remain bearish.
While top cryptocurrencies like Bitcoin (BTC) are struggling to increase their prices, Cardano (ADA) seems to have a different plan, as evidenced by its daily and weekly charts, which are both green.
In fact, considering the latest data, this could just be the beginning of a major bull market.
The Bulls of Cardano Have Arrived
Data from CoinMarketCap shows that ADA has risen by over 6% in the past seven days. The bull market continues to dominate in the last 24 hours, with the daily chart remaining green.
At the time of writing, ADA’s trading price is $0.4151, with a market capitalization exceeding $14.8 billion. However, the recent price increase has not been sufficient for most investors to make a profit.
According to our data from IntoTheBlock, only 31% of ADA investors were “in the money” at the time of writing. However, this trend may change as bullish patterns emerge on the token’s chart.
The popular cryptocurrency analyst World of Charts recently tweeted about the falling wedge pattern in the bull market.
Notably, since February, Cardano has consolidated this pattern, showing potential for a breakout at the time of publication. If this occurs, ADA could soon reach $0.80.
Is ADA Ready to Explode?
AMBCrypto plans to examine ADA’s on-chain data to determine if they support the likelihood of a bull market breakout.
Our analysis of Santiment data shows that ADA’s MVRV ratio has increased significantly in the past month, which can be interpreted as a bullish signal.
Its Velocity peaked on June 30th, indicating that ADA was used more frequently for transactions within the specified time.
Investor confidence in ADA is also high, as its weighted sentiment has entered a positive area. This means that the optimistic sentiment surrounding the token has improved.
We then looked at Cardano’s daily chart to see what the market indicators showed. The Chaikin Money Flow (CMF) is on the rise, suggesting that prices will continue to rise in the coming days.
However, the Relative Strength Index (RSI) is heading south. ADA’s price has also touched the upper limit of the Bollinger Bands, which often leads to price adjustments.
Is your portfolio green? Check out the ADA Profit Calculator
AMBCrypto’s analysis of Hyblock Capital data shows that if bears take over the market, Cardano’s price could drop to $0.37.
However, if the token can maintain its bullish momentum, then ADA could easily reach $0.80 in July.