This summary text is fully AI-generated and may therefore contain errors or be incomplete.
An analyst has predicted that Cardano (ADA) may experience a significant rally in the near future, potentially reaching $0.75. The analyst points out that ADA is currently following a similar pattern to the one observed between 2018 and 2020. Despite the presence of the COVID-19 crash, which caused a temporary deviation from the pattern, the analyst believes it can be disregarded in the overall analysis. ADA is currently attempting to break out of a consolidation phase and if successful, it could lead to a substantial increase in price.The analyst suggests that if the pattern holds, ADA could surpass the $0.45 resistance level and potentially rally towards $0.75 by late December. This would represent a surge of over 70% from the current spot price. In the previous bull run, ADA experienced a total increase of almost 3000%, indicating the potential for further gains.On-chain analytics firm Santiment also provides insights into ADA’s recent price uptrend. They highlight the correlation between the total number of ADA addresses holding a balance and the price movement. A decrease in the number of wallets is often associated with small holders selling to larger investors, potentially influencing the price. Santiment suggests that the recent decline in the indicator may be a sign of this effect in action.Despite being rejected from the $0.45 resistance mark, ADA has been showing upward movement in recent days. The current price has pulled back to $0.43 since the retest.