Chart Shows Cardano to Hit New All-Time High of $4 by the Year-end Despite Current Dip

The sentiment that Cardano could still reach a new all-time high this year remains high in the $ADA community despite the recent price decline.

For context, Cardano continues to decline alongside the broader market. $ADA reverted to the trend after a rally to $1.02 earlier in August, which saw it play contrarian to the bearishness at the time.

With Bitcoin hitting new lows, Cardano has followed suit, dropping 5% in the past 24 hours to its current price of $0.830. As a result of this decline, those who bought $ADA at the start of the year are currently unprofitable, with a 3.8% year-to-date loss.

The account shared a technical analysis of the token to back this claim. The chart indicates that the $4 price mark is one of the Cardano targets if it reclaims the tip of an ascending channel on the 4-day timeframe.

For context, $ADA currently trends within a rising wedge, a structure it formed from its lows of $0.22 in June 2023. Meanwhile, its last rally to the channel’s upper boundary in December 2024, when it reached $1.32, formed a descending resistance neckline.

Notably, the trendline was responsible for the rejection seen in August 14’s rally to $1.02. As Cardano consolidates following the rejection, the chart highlights that its next support lies around the channel’s lower boundary, slightly below the 0.50 Fibonacci retracement at $0.5424.

Cardano to $4.14 This Year

According to the analysis, Cardano is expected to rally to $4.14 by the end of this year, aligning with the upper trendline of the ascending wedge. From the current market price of $0.830, the rally to the new all-time high represents a 399% growth.

Notably, the target aligns with the 2.00 Fibonacci extension in the accompanying chart. Before the price mark, the analysis highlighted prior targets, including $1.47, $1.79, $2.47, and $3.10. However, $ADA needs to stay above the support level at $0.51 to keep the prospect of a price increase alive.

Interestingly, some members of the Cardano community expect higher prices. In response to Minterm’s post, proponent Rulo believes that $ADA will rise much higher to $10 this year. He shares this sentiment with several other market analysts, including Cardano permabull Dan Gambardello and stake pool operator Ssebi.