Cardano (ADA) Surges 15% as Support Holds, Gemini Listing Hopes Rise

Cardano (ADA) has garnered significant attention in the cryptocurrency market, with several factors potentially driving its price surge this week. The digital asset has found support at the $0.70 level, as bulls attempt to reverse the downtrend that began on March 2. This support level is crucial for ADA, as it has managed to hold steady above it, indicating a potential for a price increase.

One of the key factors contributing to the speculation surrounding ADA's price movement is the inclusion of ADA in the U.S. digital assets stockpile by President Donald Trump. Trump's executive order, which set up a Bitcoin and altcoin reserve using only the assets the government already possesses, initially caused a sharp drop in ADA's price. However, the token managed to find a temporary floor at $0.640, which was its price before Trump's announcement. This resilience has led to a retesting of a key resistance at $0.763, which ADA needs to break to avoid another significant drop.

Another factor fueling speculation about ADA's price is the potential listing of ADA on the Gemini exchange. If the listing materializes, it could attract more investors and drive up the price of ADA. The co-founder of Gemini did not downplay the listing possibility, adding to the optimism surrounding ADA. The popular crypto trader Ali Martinez has emphasized the importance of ADA staying above the $0.80 level this week. He predicts that a break above the $1.20 resistance could push the digital asset to $10 in the mid to long-term.

Despite the recent turmoil, the market sentiment for ADA has picked up slightly, as indicated by the Fear and Greed Index improving from a record-low reading of 15 to 19. Although investors continue to be in “Extreme Fear” according to this gauge, the market may have hit a temporary bottom as buyers have stepped in to take advantage of bargain prices. This could lead to short-term gains of at least 15% for ADA based on the size of the price channel.

Cardano’s quick gains could be halted at the $0.8 level, which had been a bearish order block but acted as a bullish breaker block for a brief time. The descent below $0.8 has put the bulls on the back foot and fighting uphill. The Awesome Oscillator showed momentum has shifted bearishly. The structure on the daily chart was bearish, but the range-bound nature in recent months meant it was better to pay attention to the range levels than the structure. The 75% range level at $0.8 coincided with the bearish order block from February, marking it as the closest and strongest resistance zone.

In conclusion, Cardano (ADA) has several factors working in its favor that could lead to a price surge this week. The support at the $0.70 level, the potential listing on the Gemini exchange, and the positive market sentiment all contribute to the bullish outlook for ADA. However, it remains to be seen whether the token can break through the key resistance levels and sustain its upward momentum. The 3-month liquidation heatmap showed that the major liquidity cluster to watch out for was at $1.17. The $0.634, $0.8, and $0.83 levels were also lower timeframe liquidity pockets to watch. The 2-week heatmap showed that this was indeed the case. The way north was filled with liquidation levels, meaning ADA prices will be attracted northward, potentially as high as $1. However, this upward pull was contrasted by a lack of buying pressure in the spot market and a market-wide bearish bias. In particular, the $0.9 was a promising bearish reversal zone. It lined up well with the mid-range level at $0.907. Therefore, traders can wait for Cardano’s reaction from $0.8 to understand if they should try to capture a bounce toward $0.9. Similarly, a move beyond $0.9 could see $1.03 and $1.09 revisited.