Cardano has been in the limelight lately, not only because it has slightly increased in price but also due to its forecasted surge. According to predictions, ADA may surge up 16% and reach as high as $0.37 by October 2024. But what really drew interest was the bold statement of Cardano analyst Dan Gambardello, that ADA could rally a whopping 1,000% against Bitcoin.
Related Reading
Gambardello’s forecast is based on a very similar setup to the bullish divergence in 2020 that indeed triggered a strong price ascent. In fact, despite this optimism, overall sentiment in the market for Cardano remains conservative.
Although the price gain since then is insufficient to offset the 9% losses investors have suffered this week, it may provide a limited indication of increasing momentum for the coin. ADA has just recorded a modest gain in price of 2.5% to $0.3263.
Analyst’s Bullish Case
Gambardello is optimistic based on ADA/BTC’s technical chart. He pointed to a bullish divergence where the price of ADA keeps making lower lows, while the RSI and MACD are making higher lows-a sign that the downward momentum could be weakening and a reversal might occur very soon. Anyone who has followed crypto price movements knows this has been the precursor to many major rallies.
🚨 Insane bullish divergence on the ADA/BTC daily chart.
Last time this happened 4 years ago, Cardano rallied over 1,000% against Bitcoin. pic.twitter.com/cR0uqkIcTe
— Dan Gambardello (@cryptorecruitr) September 5, 2024
And he’s rather outspoken about his bold forecast, too. In a recent X post, Gambardello pinpointed how similar conditions were set back in 2020: ADA was also struggling then, but the bullish divergence set off a major rally against Bitcoin that took ADA to new all-time highs. If history repeats itself, we might well be looking at an “insane” price rally for ADA once again.
Market Sentiment: Bearish Or Bullish?
It is not all moonbound, though, for Cardano. If Gambardello’s rosy projection were anything to go by, the opposite might be said by the wider market. Market sentiment at the moment is without a doubt bearish.
The Fear & Greed Index, one of the major barometers of investor confidence, rests at 22, indicating “Extreme Fear.” This in effect means most investors are still very skeptical about making a big move in ADA and risk appetite remains very low.
Click Here to Read the Full Original Article at NewsBTC…
