Cardano (ADA) Price: Bulls Reclaim Control as Crypto Eyes $1.02 Target

TLDR

• Cardano (ADA) is trading at $0.84, extending gains after rebounding from key support
• Positive funding rates and growing stablecoin market cap ($40.37 million) indicate bullish sentiment
• Technical analysis shows a bullish wedge pattern breakout on the 4-hour chart
• Bitcoin stability above $110,000 provides favorable conditions for altcoins like ADA
• ADA could target $0.92 in the short term, with potential to reach $1.02 if momentum continues

Cardano (ADA) has gained momentum in recent days, pushing above the $0.84 mark on Monday after finding solid support at lower levels last week. This price action comes as the broader cryptocurrency market experiences a period of consolidation below the $4 trillion total market capitalization.

The price movement shows resilience in Cardano’s market position despite earlier pullbacks. Trading data indicates a bounce from the 100-day Exponential Moving Average (EMA) at $0.77 on September 1, with a recovery of 4.19% by Sunday.

Market participants are showing increased interest in Cardano’s upside potential. Derivatives data from Coinglass reveals that the OI-Weighted Funding Rate for ADA has turned positive since September 2. The current rate of 0.0079% indicates that long position holders are paying shorts, typically a signal of bullish market sentiment.

On-chain metrics further support this positive outlook. DefiLlama data shows that the ADA stablecoin market capitalization reached an all-time high of $40.37 million on Sunday. This growth in stablecoin activity typically points to increased network usage and greater ecosystem participation.

The technical picture for Cardano has improved as well. Chart analysis shows ADA breaking above a falling wedge pattern on Sunday, a formation that typically favors bullish price action. This pattern emerged from connecting multiple high and low price points dating back to August 14.

Technical Outlook

The Relative Strength Index (RSI) on the 4-hour chart currently reads 58, positioning above the neutral level of 50. This technical indicator suggests building bullish momentum in the short term. The Moving Average Convergence Divergence (MACD) has also displayed a bullish crossover on the 4-hour timeframe, further reinforcing the positive outlook.

For longer-term holders, the daily chart shows ADA hovering around $0.83. If Cardano closes above the daily resistance at $0.84, the rally could extend toward its August 14 high of $1.02. However, the daily RSI is currently near its neutral level of 50, showing some indecision among traders.

Cardano Price on CoinGecko

The MACD on the daily chart displays a falling red histogram bar below its neutral level, suggesting fading bearish momentum rather than strong bullish conviction. This mixed signal on longer timeframes indicates that while the short-term outlook appears positive, sustained buying pressure will be needed for a move toward higher targets.

Bitcoin’s current price action is providing a supportive backdrop for altcoins like Cardano. With BTC holding firm above the $110,000 level after pulling back from highs near $120,000, conditions remain favorable for altcoin performance. Historically, periods of Bitcoin consolidation often lead to liquidity rotating into alternative cryptocurrencies.

Key Price Levels

Looking at important price zones for Cardano traders, several key levels stand out on the chart. The immediate resistance sits between $0.83 and $0.85, with the 50-day Simple Moving Average at $0.83 creating a horizontal barrier. Above this zone, the 61.8% Fibonacci retracement level at $0.92 becomes the next target.

On the downside, key support can be found at $0.77 where the 100-day EMA currently sits. Deeper support exists at $0.72 (the 200-day SMA) and $0.62 as additional safety nets. The critical downside risk remains at $0.55, which served as strong support earlier this year.

The short-term outlook for ADA hinges on its ability to clear the $0.85 resistance. A decisive move above this level could trigger advancement toward the $0.92 Fibonacci level, with stronger upside potential to $1.00 and $1.02 if momentum carries forward. Failure to maintain current levels, however, risks a pullback to the $0.77-$0.72 zone.

Cardano is trading at $0.84 at the time of writing on Monday, showing continued momentum from its weekend recovery.