Cardano ADA surges 80 then plunges 35 as traders await next move

Cardano (ADA) has experienced significant volatility and extreme price swings, making it one of the most unpredictable assets in the crypto market. Following the announcement of a US Strategic Crypto Reserve, which included Cardano, ADA’s price skyrocketed over 80% in less than a day, fueling speculation about its long-term role in institutional adoption. However, the excitement was short-lived as negative macroeconomic sentiment and fears surrounding global trade wars triggered a sharp 35% decline within just two days. As uncertainty grips the financial markets, traders remain cautious about whether ADA can regain momentum or if more downside is ahead.

Despite the recent sell-off, top analyst Ali Martinez shared a technical analysis suggesting that Cardano remains positioned for a potential surge toward $10. According to his insights, bulls must reclaim key technical levels for a strong recovery, with ADA still showing bullish potential despite short-term weakness. With Cardano’s price action at a critical point, the coming days will be crucial in determining its next move. If bulls can stabilize ADA above key support, the potential for another explosive rally remains on the table.

Cardano (ADA) has been overperforming compared to the broader crypto market over the past week, showing relative strength despite ongoing volatility. However, price action remains confined within a range that first began forming in November 2024, preventing a clear breakout in either direction. If bulls can hold the current levels, ADA could soon attempt a push above multi-year highs, setting the stage for a significant bullish move. However, analysts remain cautious as prices are still low, and investor sentiment remains fearful amid macroeconomic uncertainty and trade war tensions. Many traders are waiting for confirmation of a breakout, as momentum has yet to fully shift in favor of the bulls.

Martinez’s technical analysis on X reveals that Cardano is still positioned for a potential surge toward $10. According to Martinez, for this bullish scenario to unfold, ADA must maintain support above $0.80 while successfully breaking through the key $1.20 resistance level. These price points serve as crucial pivot zones, and their validation or failure will likely determine Cardano’s short-term trend. The next trading sessions will be crucial, as a break above $1.20 could trigger a strong upward move, while failure to hold above $0.80 could lead to further