Investors are again bullish on Cardano as the ongoing downtrend of recent weeks has broken. ADA received strong support around USD 1 and has bounced up from through. As ADA has broken out of an important technical pattern, the price is around $ 1.21 at the time of writing.
Cardano could reach $ 1.35 soon
Cardano’s downward trend led to the formation of a falling wedge pattern. This is a Bullish pattern that emerges after a significant upward price action. After the price increase, you will see a downward trend that will continue until the bulls are ready to step back in. A breakout occurs when the price breaks through the upper trend line.
To calculate to what extent the price can rise during such an outbreak, the difference between the highest and lowest point of the pattern is measured. In this case, it was 21%, which means that the Cardano price could rise to $ 1.35 in the short term.
The RSI also looks positive now that it is no longer in the oversold area. All in all, it looks positive for ADA investors. It must be said that it is important that no second Bitcoin correction takes place. This could wipe out Cardano’s profits.