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Cardano is a blockchain platform for developing decentralized applications and smart contracts. It is based on a proof-of-stake consensus mechanism called Ouroboros, which aims to be more energy efficient than traditional Proof-of-Work mechanisms. Cardano also uses a unique multi-layer architecture, with a separate layer for transaction processing and another for contract execution, allowing more flexibility and scalability.
ADA price action has reached the new peak valuation of $0.38, which brings the token close to its previous strong resistance of November 2022 at $0.44. The technical outlook of ADA has taken a positive turn since 2023 began a positive movement for cryptocurrencies. ADA has thus reclaimed its market capitalization of $13 billion.
Can Cardano hit $1 in 2023?
ADA price action takes a bullish uptrend after a breakout from its 100 EMA curve of $0.341. The Strong resistance for this token is trading close to the 200 EMA curve or $0.44.
Update : @Cardano breaks through 100-day moving average, signaling bullish momentum for ADA!#Cardano #ADA #decentralized #Crypto #cryptocurrency https://t.co/OA9Wpc7Uql
— CryptoNewsZ (@cryptonewsz_) January 9, 2023
Based on the Cardano ADA price prediction, breaking out from this price action will take the Cardano to the high of $1 with a strong buying spree. Single day candlestick pattern showcases ADA at a strong pivot point to jump toward the 200 EMA curve.
Alongside technical indicators, buyers have also taken strong participation in the rally, while the 100 EMA is acting as a support level to push more buying volumes. 200 EMA curves remain a mere 13% away from the latest trading value, breaching which could bring a strong uptrend to at least $0.60 and above.
MACD has been moving strongly and positively for the last month, but it can lose some sentiment with a volatile upside movement. Moreover, from an RSI perspective, the token gradually moves toward the peaks. At the same time, the token maintains strong buying intensity as RSI has been moving above and beyond the overbought zones at 75.
On weekly charts, Cardano is gradually moving into positive territory with a fourth consecutive bullish candle for weekly charts. While the intensive movement has dried up, price action will soon witness clashes at the top. The resistances for ADA that have survived the previous downtrend will create fresh troubles, particularly at $0.44 and $0.66.