Cardano (ADA) Eyes $1 as Bullish Technical Pattern Gains Market Attention

Key Takeaways

• Cardano’s (ADA) price has created a double bottom pattern.
• The ADA price trades inside a descending parallel channel.
• Can ADA break out from its channel and confirm the bullish pattern?

Cardano (ADA) has bounced at the $0.56 horizontal level thrice since February.

Recently, it reached it on June 22, bouncing and creating a bullish candlestick.

The Cardano price action suggests the bounce completed a bullish pattern, confirmed with a breakout above $0.65.

Let’s examine the charts and see if this breakout is likely.

ADA’s Bullish Pattern

The daily time frame ADA analysis shows the price has fallen inside a descending parallel channel since May 2025.

Such channels usually contain corrective movements, making an eventual breakout from the most likely scenario.

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On June 22, ADA reached the channel’s support trend line and bounced (green icon), creating a bullish candlestick the next day.

The bounce was critical since it validated the $0.55 horizontal support area and created a double bottom pattern relative to the price in April.

The double bottom is a bullish pattern that often leads to trend reversals. When the channel movement is taken into account, the pattern becomes even more valid.

However, while the ADA price action is bullish, technical indicators are not.

On the contrary, the Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) are both falling.

The indicators are also below their bullish thresholds at 50 and 0, respectively.

So, while the price action is bullish, technical indicators are not, failing to confirm whether the ADA price prediction is bullish.

What’s Next for ADA?

Cardano’s wave count aligns with the price action, giving a bullish ADA price prediction.

According to the count, ADA has completed an A-B-C (green) upward correction and a W-X-Y (red) downward one.

If the count is accurate, ADA has started a five-wave increase (green), which could be wave C in a long-term correction.

The RSI and MACD are turning upward, supporting this count. The RSI moved above 30 while the MACD made a bullish cross (black circle).

A breakout from the channel will confirm this count, gradually taking the ADA price to $1.08.

ADA Above $1

The ADA price bounced significantly on June 23, creating a long-term double-bottom pattern.

The wave count and price action suggest the correction is over, and a new upward movement has started.

If the price of ADA breaks out from its descending parallel channel, it could gradually increase toward $1.08.