ADA Surges 14% in Four Days, Sparking FOMO and 2021 Rally Speculation

Cardano, the cryptocurrency known as ADA, has been making waves in the market, surging by 14% in just four days. This sudden rise has pushed ADA into a prime "fear of missing out" (FOMO) zone, sparking speculation about a potential repeat of its 2021 rally.

At the time of writing, ADA is trading 75% below its all-time high, raising the question: is history about to repeat itself for another 2021-style rally? To assess the odds, let's break down the current situation.

Like many cryptocurrencies, Cardano is trading well below its post-election highs and has been struggling to hold key psychological levels. Its rapid price swings have kept investors on edge, making it a high-risk, high-reward asset. Since pulling back from $1, ADA has hit three consecutive lower lows, reinforcing its downtrend.

In the last 96 hours, over 70 million ADA tokens have been offloaded by whales, increasing the chances of losing the critical $0.70-$0.65 support range. This sharp sell-off suggests that ADA's recent double-digit surge may have been just another hype-driven cycle, ripe for quick manipulation and profit-taking.

However, a consolidation in this range could have paved the way for a bullish repeat of ADA's 2021 rally, when it hit an all-time high of $3.10, marking a staggering 630% year-to-date gain. Despite the uncertainty, Cardano remains a volatile asset, making ADA's next move highly uncertain.

Given Cardano's high volatility, it remains a risky bet for now. While the ADA/BTC pair is showing some relief, it's still far from reclaiming previous highs needed for a true rebound. A major liquidity pool with 10x long leverage at $11.60 faces a potential wipeout, as ADA teeters just 12% above the critical $0.69-mark.

With the stakes this high, a repeat of the 2021 rally feels like a distant dream. For ADA to reclaim $1, holding its press time levels is crucial. Otherwise, with big sell-offs, extreme volatility, and long