Cardano ADA Gains 29.81% in July Amid Bullish Breakout Signals

Cardano (ADA) appears to be positioning itself for a potential breakout amid growing on-chain activity and a series of favorable technical indicators. A newly identified smart contract, cardano.omft.near, has been conducting ADA transactions on the NEAR Protocol, signaling a possible integration with NEAR’s Intents platform. Blockchain analyst Vini Barbosa highlighted this development on July 30, noting its potential significance in enhancing ADA’s utility and liquidity. Charles Hoskinson’s public endorsement of the integration further suggests that this collaboration is not just a test but a strategic move toward expanding Cardano’s reach across Layer 1 ecosystems [1].

This integration could allow ADA holders to swap their tokens directly with NEAR-compatible assets without relying on bridges or centralized exchanges, thereby broadening Cardano’s role in the DeFi space. NEAR’s Intents platform has already facilitated nearly a billion dollars in value, offering Cardano a new pipeline for adoption, particularly among users who prioritize interoperability and flexibility [1]. Such cross-chain functionality often drives increased demand, potentially supporting stronger price action as more use cases emerge.

From a technical standpoint, ADA has shown signs of resilience. The token experienced a significant price jump in July, moving from below $0.60 to test levels above $0.90 in less than three weeks. A recent pullback has paused around the 0.764 Fibonacci level and the middle Bollinger Band, near $0.786 [1]. This confluence zone represents a critical pivot point where either bullish continuation or a deeper correction could occur. So far, the daily SMA remains just below the current price, indicating a supportive base for ADA. However, a drop below the $0.75 zone could expose the token to further declines toward $0.70 or the 0.618 Fibonacci level at $0.68 [1].

On the upside, resistance remains at $0.88, and a breakout above this level with increased volume would suggest the market is beginning to price in the NEAR integration as a meaningful development. If ADA can clear this level, it may aim for $1.00 and, potentially, levels as high as $1.18 or even $1.20 based on Fibonacci extensions and historical resistance levels [1]. Analysts have also pointed out a key price level of $0.7710 as a critical threshold, supported by whale accumulation and rising trading volume [3]. The formation of a cup-and-handle pattern and a descending wedge further supports the possibility of a bullish move toward $1.18 or $4, depending on the strength of the breakout [2].

Whale activity has been a notable factor in ADA’s recent performance. Large investors continue to accumulate the token despite selling pressure from retail holders, often seen as a precursor to a larger bullish move. Institutional interest can provide price stability and support during pullbacks [6]. Additionally, on-chain metrics such as the RSI at 35.25 suggest ample upside potential, while bullish moving averages, including a rising 50-day SMA, align with the current price trend [6].

Fundamentally, ADA’s ecosystem has seen significant developments, including the deployment of zero-knowledge smart contracts via Halo 2 zkSNARK. This advancement is expected to enhance scalability and privacy, opening new opportunities for DeFi and sidechains [6]. Moreover, there are indications that Ripple’s RLUSD stablecoin may soon be launched on the Cardano network, which could further stimulate demand and liquidity [6].

With a daily trading volume of $1.2 billion and a market cap of $26.9 billion, ADA remains a top-10 cryptocurrency [6]. Looking ahead, the anticipated Plomin hard fork is expected to bring further upgrades to Cardano’s governance model, strengthening its appeal to developers and users alike. Analysts like Ali Martinez have predicted that ADA could reach between $1.60 and $3 by mid-2025, assuming Bitcoin remains stable above $120,000 and altcoin season gains momentum [6].

However, risks remain. ADA is vulnerable to a pullback if key resistance levels at $0.85 fail to hold, potentially leading to a decline toward $0.65 or even $0.55 [5]. Market participants are also watching the broader cryptocurrency landscape for signs of a larger bull wave. While Cardano faces competition from faster networks like Solana, its research-driven development approach and Ouroboros consensus model continue to differentiate it from many of its peers [6].

As the market awaits the next major price movement, ADA’s ability to maintain its momentum will be crucial in determining whether it can establish itself as a leading player in the next phase of the crypto cycle [6]. The on-chain developments, technical patterns, and whale activity all point to a potentially significant breakout, though the path forward remains contingent on continued institutional support and broader market conditions [1].

Source:

[1] Is ADA Price Gearing Up for a Breakout on NEAR News? (https://cryptoticker.io/en/is-ada-price-gearing-up-for-a-breakout-on-near-news/)

[2] Cardano Price Prediction: Long-Term Structure Points to ... (https://bravenewcoin.com/insights/cardano-price-prediction-long-term-structure-points-to-explosive-breakout-towards-4-00)

[3] Cardano ADA Gains 29.81% in July Amid Bullish Breakout ... (https://www.ainvest.com/news/cardano-ada-gains-29-81-july-bullish-breakout-signals-2507/)

[5] Bullish Breakout Signals, Whale Activity, and Market Trends (https://www.okx.com/en-us/learn/cardano-bullish-breakout-whale-activity-market-trends)

[6] Cardano Price In GBP Eyes Breakout—Will ADA Surge ... (https://blockchainmagazine.net/cardano-price-in-gbp-eyes-breakout-will-ada-surge-past-0-60-before-the-next-bull-wave/)