Cardano (ADA) Surges 10% as Bullish Momentum Builds

Cardano (ADA) has recently captured the attention of investors and analysts alike, as it has broken through a key resistance zone after a period of consolidation. Currently trading around $0.79, ADA's bullish momentum is gaining traction, fueled by growing institutional interest in smart contract platforms and the altcoin's robust fundamentals.

Technical analysis of the daily chart reveals a strong bullish development. ADA's price has surged above its 50-day simple moving average (SMA), which is around $0.72, and is now targeting a close above the 100-day SMA at $0.78. This marks the first decisive move above the major moving averages in over two months. The recent candle formation shows a clear bullish engulfing pattern, supported by higher volume and momentum, indicating significant buying pressure.

The Accumulation/Distribution Line (ADL) is trending upward, confirming that accumulation is in progress. The next major resistance level is near the 200-day SMA, approximately at $0.79–$0.80. A close above this level could trigger a broader breakout, with potential targets toward $0.88 and $1.00 in the coming weeks.

On the hourly chart, ADA's price is riding a strong uptrend that began around the $0.70 mark. The price action consistently forms higher highs and higher lows, a classic bullish structure. The moving averages are aligned in a bullish order, with the 20, 50, and 100 SMAs stacked above the 200 SMA. The recent hourly candles show a minor consolidation just below $0.80, suggesting a potential flag or pennant formation, which typically leads to continuation. If ADA manages to flip $0.80 into support, intraday traders could see upside targets at $0.82 and $0.85 in the short term.

If Cardano's price maintains its momentum and closes above $0.80 on the daily time frame, it could test the $1.00 psychological level, which also aligns with prior structure resistance. The technical indicators suggest that the bullish trend may have just begun. On the downside, support lies around $0.74, followed by a stronger level near $0.70.

In conclusion, Cardano is exhibiting renewed bullish strength after months of sideways trading. Both the daily and hourly charts indicate a trend reversal backed by volume and moving average alignment. With broader crypto market optimism and Cardano’s increasing DeFi adoption, ADA could be poised for a strong rally. Traders should monitor $0.80 for a potential breakout confirmation and place stop-losses below $0.74 to manage risk.