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Key Takeaways:
- ADA trades just above the 0.618 Fibonacci level, signaling a potential reversal.
- A breakout above $0.84 could target $1.05 to $1.30.
- Mixed market data shows cautious but growing bullish sentiment.
Cardano (ADA) is gaining momentum near a crucial Fibonacci level, with analysts eyeing a breakout that could send prices above $1.
Cardano Shows Resilience Amid Mixed Market Signals
Despite broader market uncertainty, Cardano (ADA) is exhibiting fresh strength. Over the past 24 hours, ADA has risen by 4.35%, trading at $0.7552, slightly above the key 0.618 Fibonacci retracement level at $0.7548. Though ADA has declined 3.68% over the past week, its recent move hints at a possible reversal of its downtrend.
The 0.618 Fibonacci level is widely seen as a pivot point where price reversals often occur. ADA’s position just above it suggests that bulls may be regaining control, making this a pivotal moment for traders.
$0.84 Resistance Could Define ADA’s Next Move
Crypto analyst Ali highlights the $0.84 level as a critical resistance. A successful breakout above this line could pave the way for a rally toward $1.05—and potentially as high as $1.30, the upper boundary of ADA’s current price channel.
A breakout above $0.84 could set Cardano $ADA on a path toward $1.30! pic.twitter.com/E7ECCBIyKo
— Ali (@ali_charts) August 6, 2025
Conversely, failure to breach $0.84 could trigger a retracement back to $0.68 or even $0.6526. Given these tight technical ranges, ADA’s next move could set the tone for the rest of Q3.
Market Sentiment Still Divided
Supporting data shows a market in flux. Trading volume has dropped by 25.39% to $1.26 billion, indicating reduced activity. However, open interest has climbed 5.23% to $1.31 billion, showing that leveraged positions are increasing. A slightly positive funding rate of 0.0099% also points to mild bullish sentiment.
This divergence between volume and open interest underlines the cautious optimism surrounding ADA—investors are betting on a move, but many remain on the sidelines.
With ADA hovering just below a major resistance level, the coming days could prove decisive. A breakout above $0.84 might confirm a trend reversal and bring renewed investor attention. Until then, Cardano sits at a technical crossroads with high stakes ahead.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Cardano’s Midnight Kicks Off Glacier Drop Airdrop, Targeting 30M Wallets Across 8 Chains
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