Cardano’s Wild Ride: Will ADA Hit $1 or Crash?

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A Plausible Rhapsody of Cardano’s Fortunes

Cardano’s charts, much like a Russian novel, are full of twists and turns. Short-term bullish conviction dances with the taker buy/sell volume, yet the specter of a bull trap looms ominously. The longer-term outlook? Bullish, of course, but with $0.822 and $1-levels acting as the arbiters of fate.

Cardano [ADA] bulls, those tireless laborers in the crypto fields, have been fervently clutching the short-term support level at $0.846. Indeed, the altcoin has surged by a staggering 51% since 8 July when it languished at $0.572. Meanwhile, the crypto market sentiment resembles a Dostoevsky novel-mixed, chaotic, and volatile. Ah, the beauty of unpredictability! 🎭

Bitcoin [BTC], the grand patriarch of cryptos, teeters precariously above the $112k support. But beware! The risk of a descent to $100k lurks in the shadows, ready to drag Cardano-its humble progeny-into the abyss. ⚠️

Coinglass data, that oracle of market wisdom, reveals a slight majority favoring the longs in the ADA long-short ratio. This hints at slightly higher taker buy volume-a fleeting sign of short-term bullishness. Yet, like a Tolstoy novel, the nuances demand deeper examination.

The long/short (accounts) statistic paints a picture of 74% of accounts being long. Even among Binance’s elite traders, 77% of positions lean long. While this reaffirms bullish short-term expectations, the debate over a potential bull trap rages on like a heated Russian winter. 🥶

What Lies Ahead for Cardano?

Resolving the short-term bull/bear debate is akin to untangling the plot of “War and Peace”-complex and profoundly reliant on Bitcoin’s whims. Zooming out, Cardano’s chart reveals a 1-day market structure steadfastly bullish for the altcoin.

The Awesome Oscillator, that harbinger of momentum, appears to sink towards the zero line, suggesting subdued vigor. Yet, the price has not made a significant lower low, much like a protagonist refusing to succumb to despair. A drop below $0.822 would be required to flip the 1-day structure bearishly.

The rising OBV, that measure of buying pressure, saw a minor pullback over the past two weeks, but the selling pressure has not been overwhelming-much like a minor scandal in a Chekhov play.

Beyond $1, the $1.2 and $1.36-$1.4 zones emerge as the next notable resistances, beckoning Cardano like distant promises of love. 💔

The 3-month liquidation heatmap highlights the $1-area as a key magnetic zone, a veritable siren’s call for Cardano in the coming weeks. To the south, the $0.82-level stands as an equally alluring target, lining up with ADA’s higher low on the daily chart.

A sweep of the $0.8-lows, followed by a triumphant run to $1 and beyond, may be in the cards-provided Bitcoin, that capricious overlord, does not plunge to $100k in August and September. Ah, the fickle winds of fate! 🌬️

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2025-08-29 10:02