Analyst Sees Cardano Price Entering New Pump Phase

TLDR

• A trader says Cardano is forming an accumulation pattern on higher timeframes.
• Cardano has moved within a broad corrective range since its 2021 peak at $3.10.
• ADA recently rebounded from the $0.220 support level without breaking lower.
• The asset now trades near $0.297 after a 35 percent recovery from the range bottom.
• The analyst states that the current structure mirrors a previous cycle before a breakout.

Cardano trades near the lower boundary of a multi-year range after a prolonged correction. A market analyst states that historical patterns point to a potential expansion phase. The projection suggests that Cardano could target levels above $7 if momentum continues.

Cardano Multi-Year Correction Signals Possible Shift

Cardano entered a broad corrective range after reaching its $3.10 peak in September 2021. Since then, the asset has lost about 90% of its value and moved sideways.

The monthly chart shows price stabilization near the lower boundary of this range. Recent price action shows buyers defending the support zone around $0.220.

On February 6, ADA touched $0.220 and rebounded without breaking support. The asset now trades near $0.297 after a 35% recovery.

The analyst known as Bitcoinsensus shared a chart outlining this structure. He stated that Cardano sits in a “transition zone” between accumulation and expansion.

He explained that prior cycles followed a long base before a breakout. The chart suggests a similar setup may now be forming.

Cardano turned green on the monthly chart after months of declines. The asset now approaches its first positive monthly close in six months.

Higher timeframe indicators also show early momentum shifts. These signals align with historical late-stage corrective behavior.

Cardano Price Projection Points to $7 Target

The analyst compared the current range with the 2020 base formation. During that period, ADA rallied from $0.0177 to $3.10.

That move followed an extended consolidation before a breakout occurred. The current structure reflects a similar extended range pattern.

Based on the projected path, Cardano’s price could exceed its previous high. The chart outlines a possible rally toward levels above $7.

Such a move would represent a gain of over 2,257% from current levels. However, the projection depends on sustained market demand.

The analyst stated that momentum must remain consistent for expansion. He added that broader market strength would influence price direction.

Cardano continues to trade within its established horizontal band. Price remains above the recent $0.220 low.

At the time of writing, ADA changes hands at $0.297. The asset records a monthly gain following the recent rebound.

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