The altcoin market experienced a contrasting tale in the last two weeks, with large-cap assets like Cardano, Solana, and Dogecoin posting double-digit profits in the previous week. But the past week’s action has been a contrasting narrative, with the Cardano price showing a recent decline that’s almost as much as it gained the week before.
However, the cryptocurrency appears to be recovering quickly, with the ADA price now stabilizing above the $0.9 mark. The question remains — how soon could the Cardano price return above the psychological $1 level?
Here’s How ADA Price Could Reclaim $1
Ali Martinez, a prominent crypto analyst on social media platform X, has shared an interesting analysis on the short-term price action of Cardano. According to the popular pundit, the altcoin’s value could return to above the $1 mark in the coming days.
The reasoning behind this bullish projection is the formation of a bull pennant pattern on the one-hour price chart. A bull pennant is a technical price pattern marked by a price increase (the flagpole) followed by a consolidation range with converging trend lines (the pennant), which is then succeeded by a price breakout in the same direction as the initial flagpole.
Usually, the bull pennant pattern acts as a continuation indicator, signaling the continuation of a price trend (in this case, the uptrend). The price target from the chart formation is obtained by measuring and adding the height of the initial flagpole at the end of the consolidation range.
As seen in the chart above, if the price of ADA manages to break out of the bull pennant formation, the altcoin could visit above the $1 mark once again. This translates to a noteworthy 10% surge from the current price point.
A return to above the $1 level could be the spark that the Cardano token needs to ignite a rally that sees it return to its all-time high price. As covered in a recent piece, new historical patterns are pointing towards a potential rally to a new record-high price for the altcoin.
Cardano Price At A Glance
At the moment, ADA’s price is around $0.9266, showing an increase of almost 2% in the past day. However, this single-day positive performance does little to alleviate the bloodbath that the altcoin has faced in the past week. According to data from CoinGecko, the Cardano price is down by over 15% in the last seven days.
