Cardano (ADA) Breaks Key Resistance, Eyes 29% Gain to $1.20

Cardano (ADA) has recently demonstrated a strong trend reversal by breaking through a key resistance level that had constrained its upward movement for most of 2025. According to top crypto analyst Ali Martinez, this breakout could potentially lead to a rally towards the $0.90 to $1.20 range. This development is significant as it marks the end of a multi-month downtrend that began after ADA peaked near $1.30 in January.

Since the start of the year, ADA had been confined within a descending parallel channel, characterized by consistent lower highs and lower lows. However, Ali’s analysis indicates that ADA has now surpassed the upper boundary of this channel. This technical breakthrough is crucial as it suggests a potential shift in the cryptocurrency's trajectory. At the time of the breakout, ADA was trading at $0.7063, reflecting a more than 2% gain on the day. This move aligns with a key Fibonacci retracement level, specifically the 0.5 level near $0.63, which has now been decisively breached, further supporting the bullish outlook.

Ali Martinez has set ADA’s next major targets between $0.90 and $1.20. These levels correspond with the 0.786 and 1.0 Fibonacci retracement zones and also represent historical support and resistance areas from early 2024. If the bullish momentum continues, these targets are within reach. Technical indicators also support this view. On the 3-day chart, ADA’s Relative Strength Index (RSI) is trending upward but remains below overbought territory, indicating room for continued upward movement. Additionally, on-chain data shows that large holders have begun accumulating ADA again, marking a shift in market sentiment from cautious to optimistic.

Beyond the technical analysis, Cardano’s fundamentals remain robust. The network continues to roll out major upgrades, including Hydra and Mithril, which are designed to enhance scalability and security. This steady development activity has helped maintain investor confidence, even during periods of price weakness. As of the latest report, ADA is trading around $0.74. However, some resistance may emerge near the $0.80 mark, a historically important level. Clearing that would pave the way for a potential move to Ali’s projected $0.90 to $1.20 range.

In summary, Cardano appears to be breaking free from a long-running downtrend, supported by strong technical signals and growing network fundamentals. Ali’s analysis provides a clear roadmap for what could be ADA’s most significant rally in months, should current conditions persist. However, it is important to note that while some analysts predict that ADA could reach $2.80 or higher, this is based on past performance and is not a guaranteed outcome. The current level of ADA is around $0.597, and reaching $2.80 would represent a substantial increase. The recent price surge of ADA has been attributed to bullish signals, which have been mounting in recent weeks, including the completion of a golden cross, a technical indicator that suggests a bullish trend. Analysts expect the price of Cardano to further rally to $0.66 and then to $1.20, based on recent levels.