Crypto Analyst Says Cardano “Ready For A Parabolic Bull Run,” Here’s Why

Keshav Verma

1 year ago

3 mins read

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An analyst has explained how, if the historical pattern followed by the ADA price is to be believed, Cardano seems ready to go on a parabolic bull run.

Cardano May Be Set For A Bull Run Based On Historical Trends

In a new post on X, analyst Ali Martinez has discussed what hints history may contain regarding where ADA’s price would go next from here. First, here is a chart shared by the analyst that shows the trend the cryptocurrency followed back in 2019:

The pattern that the price of the asset followed a few years back | Source: @ali_charts on X

From the graph, it’s visible that the asset had first consolidated inside a parallel channel during this period. A “parallel channel” in technical analysis (TA) refers to the region bounded by two parallel trend lines.

The upper line of the pattern connects the tops in the price, while the lower one joins the bottoms. When consolidating inside the channel, the price is probable to find resistance at the upper end and support at the lower one.

A break out of either of these lines can imply a continuation of the trend in that direction. As is visible in the chart, ADA managed to break out of this past parallel channel with a 75% surge. The asset then followed this rally up with a correction of around 56% before finally lifting off into a massive 4,095% bull run.

Interestingly, just like in 2019, Cardano was stuck inside a similar parallel channel in 2023. The chart below shows this recent pattern for the cryptocurrency.

Looks like the price of the asset recently broke out of its parallel channel | Source: @ali_charts on X

As displayed in the graph, Cardano broke out of this latest parallel channel a while ago, this time with a rally of around 72%. Recently, though, the asset has lost this bullish momentum, as it has seen a drawdown of 50%. According to the analyst, however, this can, in fact, set the stage for a new bull run.

History doesn’t repeat itself, but it often rhymes! If that is the case for Cardano, we should be positioning ourselves for what’s coming, understanding that the recent price correction might just be one of the last buy-the-dip opportunities ADA will give you.

It now remains to be seen whether ADA will repeat the pattern from the last bull run or not. This is more about the long-term view, though, so where might the asset go in the short term? This may be answered by a signal that the analyst has shared in another X post.

The TD Sequential signal that the ADA price has formed recently | Source: @ali_charts on X

As Martinez explains:

The TD Sequential, which timed the Cardano top, now presents a buy signal on the ADA daily chart. It anticipates a one to four daily candlesticks rebound that could put an end to the ADA corrective phase.

ADA Price

At the time of writing, Cardano is trading around $0.464, down 3% over the past week.

The price of the coin seems to have observed a sharp plunge over the past month | Source: ADAUSD on TradingView

Featured image from Shutterstock.com, charts from TradingView.com

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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