Cardano's Native Token Shows Strong Recovery Signals

After hitting a June low of $0.50, ADA has rebounded sharply with a 75% gain in less than a month. The Cardano network's native cryptocurrency reached $0.89 this Friday, marking its highest point in 20 weeks. This upward movement suggests the prolonged downtrend may have concluded, with multiple technical indicators now flashing buy signals.

Technical Patterns Suggest Major Breakout

Analysts highlight three key bullish formations in ADA's charts:

1. The weekly candlestick touched the upper Bollinger Band, historically preceding significant rallies - including 2021's 1,500% surge

2. A bull flag breakout projects a 216% advance toward $2.70

3. The 50-day SMA crossed above the 200-day SMA (golden cross), reinforcing the uptrend

Momentum Indicators Support Continued Growth

The MACD indicator shows strengthening bullish momentum after a prolonged negative period. While the daily RSI sits at 80, some analysts note ADA could still climb another 130% to $1.80 before becoming overbought. The weekly RSI remains below levels seen during previous cycle tops, suggesting room for additional gains.

Market Context and Historical Performance

ADA remains 【75%】 below its September 2021 all-time high of $3.10. The current technical setup resembles patterns that preceded major rallies in 2021, 2022 and 2024. ——This could represent the beginning of Cardano's next major growth phase—— according to market observers.

Risk Factors to Consider

While technicals appear favorable, cryptocurrency markets remain volatile. The projected targets depend on maintaining current support levels, with the $0.80-$0.85 zone now acting as critical short-term support. Market-wide conditions and blockchain development progress will ultimately determine whether ADA can sustain its upward trajectory.