Cardano (ADA) Dips 2% to $0.6971, Analysts Predict 139% Gain to $1.72

Cardano (ADA) has shown resilience in the cryptocurrency market, with its price dipping by 2% in the past 24 hours to $0.6971. This slight decline comes after a strong rally that lifted most major cryptocurrencies above their short-term moving averages. Despite this minor setback, ADA has performed better than many of its peers, with yearly losses sitting at 17.4% compared to Ethereum's 46% and Solana's 22.3%.

Crypto analyst Lucky on X has shared a bullish forecast for ADA, projecting a move to at least $1.60 if it breaks out of its descending price channel. To initiate this rally, ADA would need to climb toward $0.90 in the short term, a level that seems achievable given the current momentum. The 19% dip in trading volume to $683 million appears to be routine profit-taking rather than a shift in sentiment, suggesting that the setup for a breakout remains intact.

An Elliott Wave analysis of Cardano indicates that the cryptocurrency could be at the beginning of the last leg of a strong uptrend in the weekly chart. In most cases, the peak of the first uptrend serves as support for the second pullback of this technical setup. However, ADA has dropped below this support level and seems to be getting ready to retest it from below. If the price action rejects a move above this support, which currently sits at $0.730, this would invalidate the Elliott Wave. However, if the price climbs above it, then the pattern will be in play again, and that means ADA could rise toward its target of $1.72.

One of the most encouraging technical signals was a bullish crossover between the 200-week EMA and 200-day EMA in November, which puts ADA on an uptrend. Looking at the chart, the price has bounced off the 21-day EMA already, emphasizing the indicator’s relevance to the market. This confirms a bullish outlook for ADA in the mid-term with a first target set at $1.72. If momentum continues to build, a longer-term push toward $10 isn’t out of the question.

As the broader market trends upward, some emerging projects are quietly gaining traction. However, the focus remains on Cardano's potential to surge toward $1.72 as the last leg of the Elliott Wave unfolds. The bullish crossover and the price bouncing off the 21-day EMA further support this optimistic outlook. If ADA can maintain its momentum and break out of its descending price channel, it could see significant gains in the coming months.