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Cardano displays a long-term bullish chart pattern known as a cup and handle. Analyst predicts ADA will reach a new all-time high once it reaches the next resistance level.
In a post on X, crypto trader Crypto Smith noted that ADA whales are done accumulating and Cardano is testing the breakout level of $0.92, which could lead to a major rally if confirmed.
The TradingView chart shows a cup and handle formation. This pattern often signals a continuation of upward momentum. The “cup” forms through a gradual price decline from a high near $3.10 in late 2021 to a bottom around $0.24 in December 2022. This bottom held throughout 2023 and early 2024.
Price Approaches Key Breakout Level
Cardano is trading for $0.7845, an 11.5% decline in the past week, reducing its monthly gain to $37.7%. Currently, ADA is close to $0.92, which the analyst identified as the resistance level forming the top of the cup.
A breakout above this level often leads to a significant price move. In this case, the chart projects a 4x gain, targeting levels above $4.00.
However, the $4 price target goes beyond the conventional projection method. Typically, analysts calculate the target by adding the depth of the cup to the breakout point. The estimated depth is around $0.67, which would place a standard target near $1.59. The $4 target suggests a broader market outlook or cycle-based forecast.
Accumulation Phase Signals Investor Interest
Meanwhile, the chart also marks an accumulation zone between 2022 and 2024. This range shows extended sideways trading between $0.25 and $0.50.
Accumulation phases often indicate increased activity from large investors, or “whales,” who buy assets at lower prices before an expected breakout. Smith noted the whales are now done accumulating, suggesting a breakout is imminent.
Notably, this Cardano setup comes during a recovery phase in the broader cryptocurrency market. This month, several cryptocurrencies regained momentum after long consolidation periods. Bitcoin recently crossed a new all-time high of $123,000 before cooling down to the current price of $118,166.
Other Analysts Expect Price Surge
Further, crypto analyst Michael Pizzino also suggests Cardano may be poised for a recovery after confirming a breakout from a descending trendline spanning October 2024 to August 2025.
Pizzino pointed to a bullish inverse head-and-shoulders pattern with a neckline at $0.506, now acting as strong support. He sees renewed upside if ADA reclaims $0.95, potentially moving toward $1.00 and a retest of $1.66 if momentum continues.
Other crypto influencers also see substantial upside for Cardano, with Josh calling it undervalued at $0.80 and predicting a 5x–10x return. Crypto King sees a breakout forming on the 1-day chart, targeting $1.4–$1.6. Long-term, analysts like Mintern and Tyler Burke project ADA could reach $11–$12 by 2026.
Interestingly, Cardano founder Charles Hoskinson claims ADA could deliver 1,000x returns, far surpassing Bitcoin’s growth potential. In a recent interview, he criticized proposals to convert ADA treasury funds into Bitcoin, arguing it would limit ecosystem profits.
A 1,000x ADA rally would imply an $800 price and a $27.5 trillion market cap, outpacing Bitcoin’s projected $1 million value and $24 trillion cap.