Can Cardano Reach $10 At Its Next All-time High?
Analyst thinks ADA can reach $10 at its next all-time high, but is he right?
Key Takeaways
- Ali Martinez predicts ADA could reach $10, citing past patterns.
- Target based on 2084% increase projection within 34 weeks.
- $10 goal seen as optimistic; analysis involves subjective adjustments.
Crypto analyst Ali Martinez, believes Cardano (ADA) might reach $10, echoing the cryptocurrency’s past bullish trends. With the total market cap of cryptocurrencies revisiting the $2.5 trillion mark, a level last seen in 2021, Cardano, despite its lagging performance, is showing signs of potential explosive growth.
But is the $10 target overly optimistic, or is it realistic?
Cardano’s $10 Target
Martinez said on March 4 that ADA appears to be replicating its prior bullish cycle. This suggests it will, potentially, make a minor correction before its value skyrockets. Martinez’s prediction is supported by Cardano’s recent breakout, which mirrors a pattern from 2019 and 2020 that preceded a rally to $3.10 in 2021.
Since it established support above this horizontal range and continued its upward trend, Ali suggests it could now be ready for another 2,084% increase. He projected the ghost bars from its previous bull cycle and came up with a target of around $10.
When it comes to the time frame, Martinez’s chart says this will happen in 34 weeks or 238 days. On the other hand, the previous rise occurred in 41 weeks, or 287 days. Martinez projects the climb will complete itself on December 9 this year.
Cardano (ADA) Price Analysis
Cardano saw its value climb on October 19. It rose from a support level of $0.23 and reached a peak close to $0.70 by December 13 last year. After that, though, it experienced a decline. This downturn led Cardano’s price to revisit the resistance level it had previously surpassed. Indeed, its January 22 low of $0.45 coincided with a high from April 14, 2023.
This pattern indicates that the surge beginning on October 19 represents a new bullish phase. This, however, was followed by the initial correction of this bull market. We have, most likely, seen the first two sub-waves of the larger five-wave uptrend, just like we did at the start of the previous bull cycle in 2020.
As the price of ADA overcame its last high and is now moving upward, we are most likely seeing the development of its third wave, which has the potential to bring ADA to its all-time high area below $3.
However, another high is expected, with its target at the $6 zone. In the previous run-up from 2020, the price topped out at the 1.618 Fibonacci point. If we project the same length as the Fibonacci extension, we reach a target of $2.70 at the all-time high.
Assuming that the price would continue to rise, it could reach the 2.618 Fibonacci level. In this case, it would be $8 – still lower than Ali’s $10 target.
The Verdict on Cardano (ADA)
Looking back at Ali’s chart, it appears that he manually adjusted the ghost bars to fit into the current pattern. This rather arbitrary method appears to be how the target came to be. Not only that, but it also looks like he separated the period before the COVID crash and after to properly align.
In the chart above, we have done the same but adjusted the second part from the December 11 high so it aligns better. Therefore, we came up with a target of $6, which demonstrates the subjective nature of this projection.
In conclusion, ADA has the potential to reach a new all-time high, but the $10 target is arbitrary and unsubstantiated. If we are talking about projecting the same length from the previous time Cardano was at the same spot with the Fibonacci extension tool, we only come with a price of $2.70, which is at its all-time high.
Disclaimers
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.
