Programmable blockchain Cardano’s ADA token jumped 12% in the past 24 hours to lead gains among major cryptos, with rangebound trading in bitcoin (BTC) influencing the broader market.
ADA crossed $1, a three-week high, as BTC, ether (ETH), Solana’s SOL and dogecoin (DOGE) added under 2%. The broad based CoinDesk 20 (CD20)a liquid index that tracks the largest tokens by market cap, rose 1.57%.
Traders expect bitcoin price action to remain range-bound through late January, with gains expected from February onward as President-elect Donald Trump takes office, as a CoinDesk review previously mentioned.
The ADA bump had no immediate catalyst, but the protocol is set to see some major developments in the coming months. This includes a decentralized finance centered on bitcoin ecosystem and continuous efforts to improve Cardano’s scalability, network performance and interoperability with other networks.
Price chart analysis suggests further gains of up to 30% for the token ahead.
“ADA’s three-day hike lifted prices above a trendline that marked a four-week retracement from early December,” CoinDesk analyst Omkar Godbole said. “The breakout and a renewed bullish crossover on the momentum indicator MACD suggest potential for a retest of the December 3 $1.32 high.”
“The widely tracked 14-day RSI is looking to cut through a downward trendline, confirming bullish price action,” Godbole added.
In technical analysis, MACD (Moving Average Convergence Divergence) indicates momentum using average prices over a period, with a bullish crossover signifying a potential price increase. The RSI (Relative Strength Index) measures the speed and volatility of price movements; and cutting a trendline suggests continued upward movement.
