Cardano (ADA) Price Prediction 2023: Why Cardano (ADA) Price is Exploding?

Cardano (ADA) reached the monthly high as soon as a leading crypto exchange, Coinbase (COIN), initiated staking the particular asset. Now, retail investors can easily participate in the Cardano network and earn rewards. The current projection provides a 3.75% annual percentage yield on Cardano's stake. Initially, investors should hold it for 10 to 25 days. After that, they will receive awards every 5-7 days. 

This week, ADA Cardano price prediction showed a 30% price surge that eliminated the previous bearish trend. Coinbase listing worked as a key price driver for ADA that came after the confidence from Greyscale. Grayscale is an investment company that uncovered the “Smart Contract Platform ex Ethereum Fund” this week, opening access to best smart contract techs where Cardano was in number 7.

Currently, 33.73B ADA are in circulation from 45B ADA max supply. Still, the price is 64% down from its all-time high of $3.10, indicating that a new bullish leg might move up beyond the $3.10 level. 

Let’s see the Cardano ADA price prediction from the ADA Forecast.

Cardano (ADA) Showed A Rounding Bottom Breakout

 

The overall price direction in the ADA/USDT daily chart is bearish before showing a rounding bottom breakout from 0.782 swing low. Therefore, the long-term bearish trend from 3.10 all-time high has become questionable with the stable price above 1.00 level. The selling pressure from March 2022 high failed to create a new low below the 0.782 level and slowly rebounded the price above the dynamic 20 EMA. Later on, the Coinbase driven sentiment finally made the Rounding Bottom breakout at the 1.008 neckline. 

In the indicator window, we can see the Aroon Up and Down line, which represents the strength of the early trend. According to this indicator, the Aroon Up (green dynamic line) is above the Aroon Down (red dynamic line). It is an indication that the early trend for ADA/USDT has changed from bearish to bullish with Aroon Up’s test of 100% line, followed by a crossover. Therefore, a bearish correction is pending where pattern breakout traders should consider the buying pressure valid as long as Aroon Up is above the 50% line.

Based on the current price structure, bulls should wait for the price to retest the Rounding bottom neckline before going long in this pair. Moreover, any bullish rejection from the dynamic 20 EMA would increase the buying pressure where the primary bullish target would be towards the 1.60 level.

Cardano (ADA) Ichimoku Cloud Analysis

 

In the H4 chart, it shows a clearer view of the price pattern where the bearish sentiment was shifted to bullish with a stable price above the Kumo Cloud. After the cloud breakout, the price tested the dynamic Tenkan Sen line multiple times before breaking above the 1.008 level. Moreover, the Senkou Span A is above the Senkou Span with solid bullish pressure in the future cloud. 

The above image shows that the rounding bottom neckline breakout came with a bullish solid H4 candle, which represents the strength of the bullish trend. The TDI line reached the lower band in the indicator window, indicating that the profit-taking from the previous buy momentum is over. 

Based on the current structure, the price moved below the dynamic Tenkan Sen and became volatile, but the Kijun Sen line and 1.008 static support level are the final hope for bulls. Any bullish rejection from 1.009 to 1.007 area would be a potential buying point for this pair where the current aim is to test the 1.200 level.

Cardano (ADA) Intraday Price Action Analysis

 

In the H4 chart, the price remained stable above the dynamic 20 EMA and weekly VWAP. Moreover, the most recent bullish rejection from the dynamic 20 EMA opened a bullish opportunity, although it did not test the 1.008 neckline.

The above image shows that the MACD Histogram is in bearish territory while the price corrected lower. Moreover, the bearish crossover in the MACD line and intraday high volume level’s presence at 1.132 failed to take the price below the weekly VWAP low. Therefore, as the current price trades above the 1.052 intraday demand, any bullish H4 candle above the 1.132 would increase the bullish momentum towards the 1.263 level.

On the other hand, an intense selling pressure with a bearish H4 close below the 1.008 would alter the current price structure by lowering the price towards the 0.782 level.

Is Cardano (ADA) A Buy?

According to the Cardano (ADA) price prediction, ADA/USDT already showed a strong buying momentum with the recent rounding bottom breakout. Moreover, the H4 chart formed a correction, which is the first indication of the upcoming price surge. However, the buying momentum is valid as long as bulls hold the price above the 1.008 static support level with bullish rejections.

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