Cardano Price Pumps 12% as On-chain Network Activities Rise – Is $1.5 on the Horizon?

Highlights:

• The Cardano price has surged 12% today to trade at $0.81 as trading volume spikes and bullish momentum builds.
• The ADA/BTC ratio is nearing an 8-month high, and Cardano’s market metrics are at remarkable heights.
• Heightened on-chain activities boost Cardano’s price driving its price in an upward trajectory.

The Cardano price is winning on the charts today, as its Bitcoin price ratio is nearing an 8-month high. At press time, Cardano has elevated 12% to trade at $0.81 on Nov 20, European trading hours. Its daily trading volume has notably soared 60% to $2.46, indicating heightened interest in the token. Cardano is now up 57% in a week, 130% in a month, and 114% in a year. 

Increased On-chain Activities Boost Cardano’s Price

Cardano’s network activity continues to grow, with nearly 100 million transactions processed to date. There are now over 1.3 million delegated wallets and almost 2,000 projects building on Cardano. Its Total value locked (TVL) on Cardano has also jumped over 101% to $481.38 million as of November 20. This increasing utility and demand is driving up the price of ADA.

Elsewhere, renowned analyst @ali_charts on X says that in the past month, Cardano holders boasting over $10 million in ADA increased their holdings by about 145.72%.

#Cardano whales have been actively accumulating $ADA over the past month, with holders of over $10 million in #ADA increasing their positions by 145.72%! pic.twitter.com/a7v39zktuJ

— Ali (@ali_charts) November 20, 2024

Cardano Statistical Data

Based on CoinmarketCap data:

• ADA price now – $0.81
• Trading volume (24h) – $2.46 billion
• Market cap – $28.55 billion
• Total supply – 45 billion
• Circulating supply – 35.03 billion
• ADA ranking – #9

Bullish Momentum Bolsters as Bulls Target $1.5 Mark

Cardano’s price is currently trading at $0.73-0.81 and is showing positive momentum as it approaches its target price of $1.5. The cryptocurrency has established a support level at $0.56, indicating potential stability in its upward trajectory.

Moreover, the Golden Cross is in play, suggesting a long-term bullish outlook in the Cardano market. The bulls are showing no signs of stopping, as ADA holds above key bullish indicators on the daily chart, starting with the 50-day SMA (green) and the 200-day SMA (blue). They have established strong support at $0.40 and $0.42, steadying the upward momentum of the cardano price.

Despite the bullish outlook, traders should be cautious of a potential pullback as profiteering may begin. Investors who bought ADA at lower price levels may want to book profits if the uptrend weakens and a correction begins.

This is evident as the Relative Strength Index (RSI) cautions traders of a potential correction. After climbing from support at the mid-line (50), the RSI jumped into the overbought area, hitting the 83.08-level strength. Traders won’t have to worry about sudden pullbacks with the RSI above 70, as this position suggests that a correction is imminent.

Similarly, the Moving Average Convergence Divergence (MACD) is also above the signal line (orange band). This suggests that traders should rally behind ADA and keep their long positions intact unless the MACD changes. 

Cardano Price Forecast

Cardano bulls are winning on the daily chart timeframe today, as they have painted the market bullish. However, based on the Relative Strength Index (RSI), the conditions that are currently overbought might culminate in a reversal. That said, it might be prudent to watch out for the RSI’s rejection from the overbought region to time the reversal and avoid the bull trap carefully.

In such a case, if early profiteering commences, ADA price might pull back slightly, retesting the $0.69 support level. Increased selling pressure will see the $0.56 level cushion against further downside. On the other hand, if the bulls sweep through enough liquidity, they may trigger a significant rally, targeting the $1.15 mark in the near term.