Cardano (ADA) Eyes $0.70 as TD Sequential Flashes Buy Signal

Momentum Builds as ADA Targets Key $0.65 Breakout

Cardano (ADA) is nearing recovery as technical indicators suggest exhaustion after weeks of selling. Recent charts show local bottoms formed, which could enable a short-term recovery. Analysts suggest that emerging buy signals, oversold momentum, and decreasing bearishness are shaping Cardano price prediction.

ADA Price Prediction: TD Sequential Hints at Reversal

Traders are attracted to a recent TD Sequential buy signal on the 3-day timeframe. The indicator, as pointed out by analyst Ali, is historically used to indicate reversal points after long downtrends. This 9-count indicator shows that sellers could be losing control and that momentum is shifting towards a possible recovery phase.

ADAUSD 1D CHART | SOURCE: X

Since the beginning of October, Cardano has been stuck in a downward channel, with the demand zone of $0.57 being firm. Repeated candle wicks around this level is a sign of accumulation, which suggests that buyers are slowly coming in. If ADA breaks out above the $0.63-$0.65 resistance band, it could validate the bullish setup of the TD Sequential, leading to $0.70 or higher.

Nonetheless, traders are still reserved as the inability to hold the $0.57 support could lead to another leg down, pushing ADA to the level of $0.54. More so, the next sessions are crucial as price confirmation through higher closes and buying volume will indicate whether the TD setup actually points to an upward Cardano price prediction.

Momentum Indicators Point to Recovery

On the other hand, another chart analysis highlighted a stabilizing trend near the $0.53 level, where the crypto is consolidating after a prolonged decline. Despite the overall structure being bearish, smaller candle bodies and long downside wicks show that selling strength declining.

Additionally, the Relative Strength Index (RSI) is at a value of 30.23, slightly above the oversold zone, indicating that sellers are weakening. Historically, the token has bounced back at such levels of RSI, and in many cases, regained the short-term resistances shortly after. A rise above RSI 40 might support this optimistic view and push the price to the range of $0.60-$0.65.

CARDANOUSD 1D CHART | SOURCE: TradingView

Meanwhile, the MACD indicator is showing early signs of a change in direction as bearish momentum decreases. A bullish crossover would be a confirmation signal that would strengthen the narrative of a short-term reversal.

What Next For ADA?

ADA’s technical structure implies a stable but optimistic future. The Cardano price prediction is skewed towards recovery, with momentum and buy signals aligning. Maintaining its levels above $0.57 and breaking $0.65 would be the beginning of the wider rebound phase. 

However, failure to retain current support would continue to expose the asset to additional losses until a sustainable upward trend is achieved.