Cardano Overtakes Bitcoin, Will ADA Price Hit $1.5?

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On Tuesday, the price of Cardano experienced a recovery, following a morning star pattern formation the previous day amidst the ongoing crypto market downturn. Notably, Cardano had surpassed Bitcoin in a significant ranking earlier on. This recovery raises the question: Could this mark the beginning of a substantial bull run for ADA, potentially propelling it towards the $1.5 mark?

Cardano Price Rises As It Overtakes Bitcoin On A Key Ranking

According to a recent Brand Intimacy survey, Cardano has surpassed other cryptocurrencies such as Bitcoin, Solana, Ethereum, and Ripple to claim the top spot among global crypto brands. Remarkably, this positions it ahead of well-known corporations like Walmart, Toyota, AMD, Ubisoft, and Home Depot, earning it a ranking of 26th in the global corporate brand category.

The report gathers its information from crucial aspects such as indulgence, satisfaction, tradition, self-expression, improvement, and nostalgia. It subsequently employs big data and artificial intelligence to determine a score, which stands at 52.6, slightly higher than Bitcoin’s score of 51.9.

Despite being less well-known in the cryptocurrency sector, Cardano’s market capitalization is significantly smaller than that of Bitcoin, which stands at nearly $2 trillion versus Cardano’s $34 billion. Furthermore, DeFi Llama indicates that Bitcoin boasts approximately 730,000 active addresses compared to Cardano’s 31,000. Additionally, the total value locked in Bitcoin is $6.52 billion, while for Cardano it is only $500 million.

In the future, we can anticipate several factors driving up Cardano’s value over time. Given its prominence in the cryptocurrency market, there’s a strong possibility that a Spot ADA Exchange-Traded Fund (ETF) will be endorsed by the Securities and Exchange Commission (SEC) as early as this year.

This year, we’ll see the rollout of Cardano’s confidential transaction (CT) or Midnight zero-knowledge scaling solution. Moreover, Cardano is expected to team up with BitcoinOS, potentially tapping into a massive $1 trillion worth of liquidity.

ADA Price Technical Analysis: Can It Hit $1.5?

Based on the technical analysis, it appears that the price of ADA may increase following its drop on Monday. This is because it formed a morning star candlestick pattern, which looks similar to a hammer. This pattern consists of a long lower shadow, a small body, and a small upper shadow, and is often seen as a strong reversal signal.

As an analyst, I’ve noticed that Cardano (ADA) has developed an Inverse Head and Shoulders pattern, with the ‘head’ of this formation occurring at approximately $0.7600. This particular pattern, often referred to as a ‘Morning Star’, is widely recognized in the market as a strong bullish indicator.

ADA briefly dropped to a level last seen during March 2024 ($0.8082), forming a potential break-and-retest pattern. This could indicate further growth in the coming weeks. To reach $1.15, it must first surpass the resistance levels at $1.1500 and $1.3268, levels it touched on January 7 and December 3 respectively.

If the price of ADA falls beneath the “right shoulder” level at $0.8800, the bullish prediction could be disproven. Such a decline might lead to a potential drop towards the subsequent significant support at approximately $0.7600.

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2025-01-15 07:31