The cryptocurrency market has been full of rapid and sometimes unpredictable price movements lately. While this mobility offers great opportunities for investors, it also brings risks. Cardano (ADA) also gets its share of these fluctuations, and this attracts the attention of many analysts, including experienced trader Ali Martinez.
Although meme coins in particular have become the favorites of the recent rally, Cardano (ADA), which has been quietly advancing and entering a stable upward trend during this period, has also managed to attract attention. On the other hand, there is some concern among altcoin investors that the crypto asset has been growing relatively slowly since the start of the bull run.
Despite gaining 23% in the last seven days, Cardano is still considered to rise further. Amid these concerns, Ali Martinez emphasized that ADA is currently following a similar path to the previous market cycle.
ADA Estimate
A distinct pattern in the price movements of Cardano (ADA) caught the attention of analyst Ali Martinez, and before the bull market rally in 2021, this pattern showed a certain consistency. In particular, during the period between September 2018 and July 2020, the popular altcoin witnessed a certain period of accumulation. During this period, Cardano’s price remained relatively stable and was accumulated by long-term investors. After exiting this accumulation period in July 2020, ADA rose from $0.10 to $0.149, representing a significant increase. However, the critical development here is that ADA tested a lower limit of $0.10 before rising.
Following this correction, Cardano embarked on a major rally with an increase of 3,217% and recorded a historical peak of over $3 in August 2021.
Traces of this clear pattern can be found in Martinez’s in the analysis becomes even clearer. Martinez suggests that this process reflects a specific cycle that affects ADA’s price movements.
Interestingly, after the pullback from the historic peak, ADA found itself in a similar consolidation phase from September 2022 to November 2023. During this time, ADA prices traded in a relatively narrow range with no significant rises or falls. However, driven by the market-wide uptrend, ADA prices staged a significant rally in December, which can be seen as a breakout ending the previous period of consolidation.
However, like the previous market cycle, Martinez predicts that Cardano will witness a slight correction before eventually rocketing to $10.
As Martinez noted, the fact that Cardano has achieved significant rallies after undergoing such periods of consolidation indicates the existence of a certain pattern and that this pattern reflects a cycle that repeats at certain time intervals. This can help investors and traders better understand altcoin price movements and help them predict potential future rises or falls. Such analyzes can be an important source of information for those who want to make strategic decisions in the market.
You can follow the current price movement here.
Source : the crypto basic