Cardano Price Healthy Retracement Sets Next Leap to $1.5

During Wednesday’s Asian market session, the crypto market showed a slight uptick as Bitcoin price showed sustainability above $90,000. The relief rally bolstered most major altcoins, including ADA, to seek support amid the current correction trend. The downward trajectory in Cardano’s price shows the formation of a well-known continuation pattern called “Flag” within the health retracement range for Fiboonaic supports.

By press time, the ADA price trades at $1.009 with an intraday gain of 5%. According to Coingecko, the asset’s market cap stands at $35.5 Billion, while the $3.1 Billion.

The flag formation hints at a temporary pullback for buyers before the next leap.
With today’s 5% jump, the Cardano price teases a bullish breakout from the current correction.
The momentum indicator RSI back above 50% accentuates the market buyers regaining control over the ADA coin.

Repetitive Pattern Puts Cardano Price for 50% Surge

Since last weekend, the Cardano price has shown a notable correction from $1.15 to $0.99, for a 14.2% loss. The retracement following a broader market pullback indicates a temporary breather for buyers to reenergize after the last pump.

Supporting the bullish thesis, the ADA price shows the formation of a ‘bull flag’ pattern in a 4-hour time frame chart. The chart setup typically occurs after a strong price movement ( the flagpole) and represents a consolidation phase ( Flag) before the trend resumes in the same direction.

Since early November, the Cardano price has formed a similar pattern twice, which led to a dynamic rally of approximately 50-52%. Thus, the potential breakout from the overhead trendline could drive a rally to $1.35-$1.5.

Here’s Why ADA Price Is Poised for Major Reversal

In a recent tweet renowned analyst Ali Martinez highlights the Cardano whale bought over 130 Million ADA amid the recent price dip. This accumulation indicates big players’ confidence in a potential rebound of the ADA price.