- Cardano price rose 5% as bulls topped $0.27 amid Bitcoin rally.
- Bullish RSI at 66 and high probability of open interest signal breakout.
- Support could be at $0.25 and $0.23, while $0.30 and the 200 EMA near $0.40 are the next resistance levels.
Cardano (ADA) traded above $0.27 as crypto market bulls extended their gains towards key resistance areas.
The ADA rise is in line with this broader market strength, which has seen renewed investor optimism push the price of Bitcoin above $81,000.
The overall rally has already seen several altcoins post double-digit gains, while a few such as Toncoin and Zikash by more than 30% during the past 24 hours.
Cardano price rises to $0.27 as bullish sentiment increases
Data on CoinMarketCap shows that the price of Cardano has risen by 5% over the past 24 hours and by 8% over the past week, with ADA decisively extending its gains above the $0.25 pivot level.
This momentum aligns with new capital flowing into altcoins, increasing buying pressure.
Notably, derivatives data reinforces the bullish narrative.
Open interest in ADA futures rose to $546 million, indicating increased trader conviction.
Meanwhile, funding rates for perpetual contracts stood at a positive 0.0074%, and 24-hour spot trading volume reached $129 million.
Much of this is due to the return of risk appetite in the markets.
On Wednesday, analysts at QCP highlighted the outlook as being largely supported by geopolitical developments.
“Trump’s pause on the ‘Freedom Project’ is being read as a signal to de-escalate, sending oil lower, stocks rising, and the dollar falling. Bitcoin has regained $80,000 along with the S&P 500’s best month since 2020, and is once again trading as a high beta expression of dollar weakness and risk appetite,” they noted.
These factors indicate rising bullish sentiment, and Cardano could take advantage of this and the broader market recovery to target higher levels.
Cardano price forecast
Technically, Cardano’s short-term outlook is bullish.
The token is looking for a breakout of the descending triangle pattern, while the price has jumped above the 50-day Exponential Moving Average (EMA) at $0.25.
The picture indicates the possibility of an extended rally.
Short-term targets are clustered around $0.30, marked by a key horizontal resistance line from the March highs.
Furthermore, the 200-day EMA near $0.40 looms as the next major hurdle, which could open the door for a push towards $0.50 if momentum continues.
The Relative Strength Index (RSI) on the daily chart is at 66, which is in strongly bullish territory but has not yet entered overbought levels.
This indicates that there is room for additional gains before any decline.
If the bears take control, key support levels include $0.25 (now acting as dynamic support across the 50-day EMA) and $0.23.
A drop below this mark could dampen enthusiasm and bring $0.20 into play.
