Cardano (ADA) Price at $0.78 Keeps the 16% Uptrend Moving with a 1.04% Surge on May 9.

Despite a minor slowdown, the optimism is high in ADA derivatives as Open Interest (OI) crosses $900 million.

Cardano price showed a 1.04% surge on May 9, keeping the 16% uptrend from the 7-day low at $0.6425 intact. The technical analysis reveals a key level breakout and increased optimism in derivatives data could pump ADA to $1.20.

On the other hand, the crypto heatmap on Arcane Research shows a minor slowdown in Cardano’s recovery momentum. As a result, the relative strength could decrease from the 14.55% hike in ADA price, which gave a decisive breakout with a daily closing at $0.7693.

Cardano breaks $0.74 zone, targets $1.20

The bulls broke past the $0.74 zone, marking the end of nearly 60 days of consolidation. This signals strong potential for a continuation of the rally from the 3-3 low.

At the start of March, Cardano reversed from the $1.20 supply zone, leading to a 36-day decline of nearly 60% to hit a low of $0.5107. Afterward, the $0.74 supply zone, which coincides with the 61.80% Fibonacci level, checked the bullish reversals.

In the broader context, the swing lows in Cardano price since December 2024 form a declining support trendline. Combining this with the $1.20 supply zone forms a right-angled descending broadening wedge.

The breakout of the 61.80% Fibonacci level increases the chances of ADA price testing the $1.20 supply zone. This marks a more than 50% upside potential.

Furthermore, the Cardano rally has surpassed the closely moving 50, 100, and 200 daily Exponential Moving Averages (EMA). This increases the possibility of a golden crossover between the 50- and 200-day EMAs.

Additionally, the MACD and signal lines are showing a positive crossover as the MACD continues its rising trend. This provides support for the extended recovery forecast.

According to the Fibonacci levels, Cardano price prediction forecasts a surge to the 100% mark, which is expected to be reached at $1.22. If Cardano manages to exceed the supply zone, signaling the descending broadening wedge breakout, the next resistance level is the 1.272 Fibonacci level, which is anticipated at $1.77.

Conversely, a breakdown of the $0.74 resistance, which has now become a support zone, will negate the positive cycle thesis to $1.20. In such a scenario, Cardano's 50% Fibonacci support level at $0.62 will be the next level to test.

Cardano open interest crosses $900M

As Cardano stays above the $0.74 mark, optimism is growing in the derivatives market.

Cardano open interest has crossed the $900 million mark, and OI weighted funding remains flat at 0.0103%.

As open interest approaches $1 billion and funding remains significantly bullish, derivatives data aligns with an optimistic outlook.

Soaring staking activity supports ADA price trend

Highlighting the bullish trend in the Cardano network, Chain analytics show a significant increase in staking activity on the blockchain.

According to PoolTool, 2,764 staking pools are active on Cardano, with 1.33 million total staking addresses having staked 22.08 billion ADA tokens. At the current market price of $0.78, these accounts for nearly $17.22 billion.

Moreover, One Community ADA (1COMM), a community-led staking pool operator, has a live stake of 69.04 million ADA tokens, making it one of the most trusted pools.

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