As the altcoin season approaches, Cardano (ADA) is gaining popularityup over 14% over the past week, according to CoinMarketCap. Interestingly, the crypto analyst has identified a powerful buy signal for ADA, suggesting that it could potentially trigger parabolic rally which could push the price of Cardano to a modern all-time high of around $5.

Cardano New Buy Signal That Will Trigger Rally To $5

September 24, TradingShot cryptocurrency analyst published a detailed analysis and report on Cardano price movements, focusing on key technical indicators that allow you to predict future cryptocurrency priceAccording to the analyst, Cardano currently shines as one of the most powerful long-term buy signals possible in a weekly time frame.

Based on this powerful buy signal and other technical indicators, the cryptocurrency analyst predicts that Cardan could start a modern parabolic rally in the coming weeks. The trendline of higher highs is expected to set a resistance level for ADA Price Fluctuationswhich could potentially lead to an raise to $5.

Highlighting these technical indicators, TradingShot revealed that Cardano’s 1W Logarithmic Moving Average Convergence Divergence (LMACD) is finally forming a bullish cross. For Cardano, this bullish cross is the first to form since October 9, 2023, and it is currently signaling a powerful buy signal that could push ADA towards an upward trend.

Moving on, Cardano’s Relative Strength Index (RSI), a momentum indicator that measures the speed and changes in asset price movements, has been “rotating” since May 2024. This means that the cryptocurrency is trading below the 1W 50-period moving average (MA50) on the weekly chart.

Based on these key technical indicators, TradingShot drew a parallel between the previous cryptocurrency bull cycle and Cardano’s recent price movements. He noted that Current ADA Market Situation were almost the same as in the 2021 bull cycle. At that time, a bullish Megaphone appeared on the LMACD 1W bullish cross, followed by a down formation triggered by the MA50/MA100 1W bullish cross, while the 1W RSI was in a consolidation phase.

As a result, the analyst suggested that these recurring technical indicators were a signal that Cardano could be preparing for massive price raiseHe boldly predicted that the price of ADA would rise from its current value of $0.38 to $5, which would be the next high in this bull cycle.

Analyst Says ‘ADA to Hit $1 by Christmas’

Contrary to TradingShot’s ambitious plan of $5 price forecast for ADAAnother cryptocurrency analyst, identified as “Deezy.eth” on X (formerly Twitter), has offered a more conservative view of the cryptocurrency. Deezy.eth predicts that Cardano will reach $1 by December 25, 2024.

The analyst based his positive forecasts on several factors that he considers bullish propellants for CardanoThis includes the weekly bullish ADA divergence, the start of rate cuts after four years, the recent launch Cardano Chang demanding fork and the reduced attractiveness of ADA’s “low liquidity and high book value.”

Featured image created with Dall.E, chart from Tradingview.com