Cardano goes ‘full send’ with a 50% ADA rally ahead of SundaeSwap launch

January 19, 2022 Coin Telegraph

ADA price

ADA bulls cranked the price higher as excitement mounts over the upcoming SundaeSwap DEX launch.

Cardano (ADA) traded within striking distance of its three-week high at the start of this week, leading some investors to suggest that a trend reversal was in order. In reality, the bullish momentum is primarily connected to an anticipation of the upcoming decentralized exchange (DEX) called SundaeSwap.

ADA price rose by nearly 12% on Jan.17 to reach an intraday high of $1.60, a day after SundaeSwap announced the launch of its "fully-functional beta decentralized exchange (DEX)." Nonetheless, the upside swing also came as a part of a wider rebound trend wherein ADA jumped by almost 50% in just seven days.

*ADA/USD daily price chart. Source: TradingView*

In detail, ADA's rebound began almost in sync with similar retracement moves across the cryptocurrency market. That included Bitcoin (BTC), which sharply reversed its trend on Jan. 10 after its price dipped to as low as $39,650. At press time, BTC price trades at $41,500.

ADA initially tailed the crypto market's reversal, but later continued its upside momentum on its own after taking cues from the euphoria surrounding the SundaeSwap DEX launch on Jan. 20. As a result, ADA emerged as one of the best performers among the top-ten cryptocurrencies based on a 24-hour adjusted timeframe.

*Top 10 cryptocurrencies in the past 48 hours. Source: Messari*

What makes SundaeSwap bullish for ADA?

SundaeSwap's official DEX launch announcement included evidence of greater demand for ADA tokens in the future and this is typically a bullish signal for investors.

The moment we've all been waiting for has finally come!

We're excited and proud to share that SundaeSwap and the ISO will be launching on the evening of Thursday, January 20th (EST)!

Check out the article below! https://t.co/8oDYU6i3k9 pic.twitter.com/upgNZx2xH2
— SundaeSwap Labs (@SundaeSwap) January 15, 2022

The DEX platform also introduced its native SUNDAE token and discussed three ways to distribute it among users: via an initial stake offering (ISO) round, yield farming and direct exchange-based conversion.

Discussing the ISO round, SundaeSwap explained that it would distribute 5% of the total SUNDAE supply via five epochs. Each epoch represents a five-day reward cycle wherein users delegate their ADA tokens into a stake pool.

"If you want to make sure you qualify for all five ISO reward rounds, you must have ADA staked with eligible SPOs [Stake Pool Operators] before 21:45 UTC on January 25," the DEX's announcement read, adding:

"Your reward will be calculated based on the snapshot taken at that time, and at the same time at each subsequent epoch boundary."

Meanwhile, the yield farming program saw SundaeSwap adding four ADA-based liquidity pools: SUNDAE/ADA, LQ/ADA, WMT/ADA and CARDS/ADA. The DEX also allocated 500,000 SUNDAE per day from January through June.

ADA to $2?

The SundaeSwap-led bounce pushed ADA toward its 100-day exponential moving average (100-day EMA; the blue wave) near $1.57.

*ADA/USD daily price chart featuring 100-day EMA resistance. Source: TradingView*

Additional bullish cues have also been coming from the anticipated launch of Pavio, Cardano's first metaverse undertaking.

Pavio is a Decentraland-like virtual land startup with some 100,000 land parcels, each being minted as a unique nonfungible token (NFT) with coordinates. The advent of the Metaverse in the crypto sector in the past months and Cardano's involvement in it may boost demand for ADA further.

This raises the possibility for Cardano to close above its 100-day EMA resistance wave, thus shifting the next upside target toward the 200-day EMA near $2.

Conversely, risks of an overall crypto market crash led by the U.S. Federal Reserve's tapering programs this year could spoil ADA's bullish setup to an extent.

"While ADA is far from its peak, the prospect of obtaining more scalability as part of its 2022 roadmap explains why investors appear to be betting big on Cardano. This point was also noted by Liam Bussel, the chief marketing officer of Cardano-native DEX WingRiders in a statement to Cointelegraph.

Bussel said,

"In a world characterized by high performance and novel use cases, Cardano will be able to keep up and lead the pack. As a result, a weekly closing above $1.80 is likely, barring any last-minute profiteering by sellers."

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Cardano’s ADA price eyes 30% rally with a potential ‘triple bottom’ setup

December 14, 2021 Coin Telegraph

ada

The only glitch in the bullish setup, for now, remains the Federal Reserve’s taper acceleration plans.

Cardano (ADA) may rally by nearly 30% in the coming days as it forms a classic bullish reversal pattern.

Sharp ADA rebound underway

Dubbed “triple bottom,” the pattern typically occurs at the end of a downtrend and consists of three consecutive lows printed roughly atop the same level. This means triple bottoms indicate sellers’ inability to break below a specific support level on three back-to-back attempts, which ultimately paves the way for buyers to take over.

In a perfect scenario, the return of buyers to the market allows the instrument to retrace sharply toward a higher level, called the “neckline,” that connects the highs of the previous two rebounds. The move follows up with another breakout, this time taking the price higher by as much as the distance between the pattern’s bottom and neckline.

So far, ADA’s price has been able to paint the triple bottom halfway, now rebounding after forming the third low, as shown in the chart below.

*ADA/USD 4-hour price chart featuring triple-bottom setup. Source: TradingView*

The point at which ADA’s price reversed was accompanied by a rise in trading volume, suggesting that the rebound had enough backing from buyers. Therefore, Cardano’s token looks poised to at least pursue a run-up toward $1.40.

Moreover, if the price further breaks above the neckline level decisively, it will likely continue to rally until it hits $1.63 — as per the triple bottom scenario.

Accumulation area

The potential triple bottom scenario emerged after ADA’s price plunged by more than 60% from its record high of $3.16 achieved on Sept. 2 earlier this year. It also surfaced as the Cardano token became one of the worst performers quarter-to-date, dropping nearly 45.50% compared to its top rival Ether’s (ETH) 15% gains.

ADA’s multi-month selloff pushed its daily relative strength index (RSI), a momentum indicator, into oversold territory. In addition, ADA’s price drop also led it to what appears like a dependable “accumulation area,” as shown in the chart below.

*ADA/USD daily price chart featuring accumulation area and oversold RSI. Source: TradingView*

Both RSI and the accumulation area also point to a buying scenario in the ADA market, thus supporting the triple bottom scenario on the four-hour chart.

Risks remain for ADA’s price

It is important to notice that ADA dropped by more than 5.50% in the past 24 hours, much in sync with other top crypto assets in the space, with Bitcoin (BTC) sinking by over 3% and Ether by almost 5% in the same period.

At the core of the crypto market’s uniformed decline was the United States Federal Reserve’s two-day policy meeting starting Tuesday. In the meetup, the U.S. central bank will likely decide to accelerate the tapering of its $120-billion-a-month asset-purchasing program, one of the key catalysts behind the crypto and stock market rally since March 2020.

Other parts of the Fed meeting will see the officials discussing the prospects of rate increases next year from its current near-zero levels. Cheaper lending had also played an important role in pushing the Bitcoin and altcoin market prices higher across 2020 and 2021, including ADA.

As Fed officials initiate their policy meeting, ADA is testing $1.18 as its weekly support for a potential price rebound. The $1.18 level is the 0.618 Fib line of what appears to be an accurate Fibonacci retracement graph in predicting ADA’s support and resistance levels.

*ADA/USD weekly price chart. Source: TradingView*

Should ADA fail to rebound and close below $1.18, its next Fib support may come at the 0.786 Fib line near $0.674, around 42% below. Nonetheless, ADA/USD may also test $1 as psychological support for an early upside retracement, similar to its multiple rebounds between February and July 2021.

Traders say ATOM could eventually do an AVAX-like surge to $100

December 4, 2021 Coin Telegraph

Traders say ATOM could eventually do an AVAX-like surge to 0

ada

Fractals, bullish technical analysis patterns and the fact that 67% of the total supply is staked are key reasons why analysts expect ATOM to hit new highs shortly.

Cosmos (ATOM) has the potential to record major gains in the upcoming weeks primarily because its longer-timeframe chart is showing a bullish continuation pattern.

Dubbed "bull flag," the structure appears as the asset trends lower while bouncing between two downward sloping trendlines. However, it eventually breaks out of the range, in the direction of its previous trend, with a profit target at length equal to the size of its previous uptrend which is also known as the flagpole.

*ATOM/USD weekly price chart featuring Bull Flag setup. Source: TradingView*

Therefore, in a "perfect" world, if ATOM is to break above the flag's upper trendline (with a rise in trading volume), it may rise by as much as the flagpole's height around $35. This sets a price target near $65 as when measured from the current potential breakout point.

Nearly 64% of ATOM's total supply is staked

The bullish setup in ATOM appeared as the token rose over 330% from its June low at $7.82 to this weeks swing high near near $32.

Circulating token scarcity could be playing a role in driving buyers into the market. Data fetched by Messari showed that nearly 64% of the current ATOM supply is staked.

According to data, Cosmos investors have staked over 180 million ATOM tokens to become validators on its 'Cosmos Hub,' a proof-of-stake blockchain that constitutes one of many hubs on the network. In return, users receive a portion of the network transaction fees and block rewards.

Pentoshi, an independent market analyst, noted that the rising number of staked ATOM tokens have been instrumental in pushing its price upward.

The pseudonymous Twitterati added that ATOM sellers have been losing momentum, citing two corrections during the fourth quarter that got stopped midway due to a higher buying pressure near the token's previous all-time high levels.

*ATOM/USD daily price chart by Pentoshi. Source: TradingView*

According to the analyst, ATOM is seeing clear:

"Signs of absorption"

Avalanche fractal highlights ATOM's potential

Another analyst, known by the pseudonym 'Bluntz,' anticipated that ATOM would continue its rally upward based on similar gains posted by one of its top blockchain rivals, Avalanche (AVAX), earlier this year.

Like Pentoshi, Bluntz views ATOM's chance of revisiting its previous record-high as a base to continue its bull run. In a similar setup, AVAX rallied by nearly 250% after finding a solid footing inside the $50 to $60 support area.

*ATOM/USD vs AVAX/USD daily price chart by Bluntz. Source: TradingView*

According to Bluntz, ATOM could easily hit $100 in the medium-term.

Solana surpasses Cardano, Tether to become fourth-biggest crypto worth $76 billion

November 7, 2021 Coin Telegraph

Solana surpasses Cardano, Tether to become fourth-biggest crypto worth billion

ADA price

SOL price reached another record high on Nov. 7, bringing its YTD gains up by roughly 17,500%.

Solana (SOL) surpassed Cardano (ADA) and leading stablecoin Tether (USDT) to become the fourth-largest cryptocurrency by market capitalization.

At press time, the net worth of total SOL tokens in circulation was a little over $76 billion, falling only behind Binance Coin's (BNB) $109 billion, Ether's (ETH) $540 billion, and Bitcoin's (BTC) $1.17 trillion.

*Top ten cryptocurrencies by market cap as of 1330 UTC, Nov. 7. Source: Messari*

Meanwhile, Cardano and Tether's market cap came out to be $66.39 billion and $74.42 billion, respectively.

$100M fund launch boosts SOL's bullish outlook

Solana's market capitalization surged as its native token, SOL, rose to yet another record high. On Nov. 7, the SOL price crossed above $262 for the first time in history, primarily owing to a market-wide price rally that saw other top cryptocurrencies ink similar gains.

Meanwhile, SOL received additional bullish cues from Solana's foray into Web3 gaming development via its venture capital arm. Dubbed Solana Ventures, the firm announced Friday that it, alongside FTX and Lightspeed Venture Partners, would invest $100 million into the game studios and technology sector.

In doing so, Solana Ventures aims to attract desktop and mobile video game developers to build their projects atop its public blockchain, thereby raising the prospect of higher SOL adoption. A similar adoption boom in 2021 helped send the SOL price up by almost 17,500% YTD — from $1.51 to $262.45.

*Solana ecosystem in a nutshell. Source: Solanians Telegram Channel*

The uptrend surfaced as speculators started treating Solana as one of the most serious challengers to Ethereum, the leading smart contracts platform grappling with higher gas fees and network congestion issues.

For instance, Solana claims that it could process 50,000-60,000 transactions per second (tps) for an average transaction fee of $0.00025. In comparison, Ethereum transacts 15-30 tps, with its median transaction cost ranging between $4 and $21.

*Smart contract platforms comparison. Source: Solwealth*

Paul Veradittakit, a partner at Pantera Capital, told Bloomberg, called Solana "the top competition" to Ethereum, Cardano, and other smart contract platforms, regarding "developer adoption and momentum."

Nonetheless, Solana also exhibited signs of resource exhaustion, i.e., a lack of prioritization among SOL transactions and a lower number of validators that led to an eighteen-hour long network outage in September. If not fixed, it could raise the risks of reversed or altered transactions across the Solana network.

Correction risks for SOL price

Despite its latest rally to an all-time high, SOL risks undergoing a correction due to at least two bearish indicators.

First, the SOL price has been forming a Rising Wedge, a technical pattern that typically results in lower prices. And second, the cryptocurrency has also been confirming a bearish divergence between its rising price and declining momentum (as confirmed by lower highs on its daily relative strength index).

*SOL/USD daily price chart featuring rising wedge and price-momentum divergence. Source: TradingView*

A break below the Wedge's lower trendline, if accompanied by an increase in volume, would risk sending the SOL price lower by as much as the maximum height. That roughly puts SOL's downside target to levels between $205 and $91.52, depending on the level at which the bearish breakout begins.

Solana battles Cardano for the top-five spot as SOL market cap crosses $70B-mark

November 3, 2021 Coin Telegraph

Solana battles Cardano for the top-five spot as SOL market cap crosses B-mark

ADA price

Solana price rallied to a new record high while SOL entered the top-five cryptocurrencies by market cap for the first time.

Solana's (SOL) autumn rally continued on Nov. 3 with its price and market cap hitting a new record high.

SOL surged by 7% in the past 24 hours to $236, pushing its market capitalization to over $70 billion for the first time in history. As the token wobbled near its record high levels, it flipped Cardano (ADA) briefly to become the world's fifth-most valuable crypto asset.

Currently, SOL's market cap was around $69.37 billion, just $500 shy of ADA's $69.87 billion market valuation.

*Top ten cryptocurrencies by market cap (as of 1230 UTC, Nov. 3). Source: Messari*

Solana rallies on NFT craze

Solana battling for the top-five cryptocurrency spot came on the heels of SOL's renewed upside strength heading into the fourth and the final quarter of 2021. For instance, the Solana blockchain's native token grew by over 65% since Oct. 1. On the other hand, ADA's returns in the same period came out to be just 2.13%.

ADA underperformed primarily on "sell-the-news" sentiment. As Cointelegraph covered, the Cardano token started plunging right after it rolled out its much-awaited smart contracts functionality via a so-called Alonzo upgrade on Sept. 13.

*ADA/USDT three-day price chart. Source: TradingView*

In the days leading up to the hard fork, ADA's best year-to-date returns were around 1,630%. At press time, they came out to be around 1,050%. In comparison, SOL's YTD returns at the time of this writing were over 12,700%.

Independent market analyst Pentoshi credited the rising number of nonfungible token (NFT) projects on Solana as one of the main reasons behind its price boom, recalling a tweet from Aug. 16 that accurately predicted a bull run for the token.

$Sol has passed $Ada and taken the #3 spot

Balance has been restored in the world

The Endless #solana summer https://t.co/DD18hgroEJ
— Pentoshi Won’t Dm You. hates Dm’s. DM's are scams (@Pentosh1) November 2, 2021

Messari's researcher Mayson Nystrom also noted a "formidable growth" of NFTs in the Solana ecosystem, noting that the blockchain processed $500 million worth of total NFT secondary sales volumes since April 2021. Excerpts:

"Whether or not Solana can manifest this initial energy into long-term NFT growth is yet to be determined, but current signs present valid reasons to be optimistic about Solana's burgeoning NFT ecosystem."

*Solana versus Ethereum NFT statistics. Messari*

SOL to hit $275 next?

SOL's latest run-up to its record high also came as a breakout out of its Bullish Pennant structure, as shown in the chart below.

*SOL/USDT daily price chart featuring Bullish Pennant setup. Source: TradingView*

Bullish Pennants appear as the price consolidates inside a Triangle-like structure after logging a strong move higher, dubbed as Flagpole. Traders typically wait for the price to break above the Triangle's upper trendline before placing their profit target at a length equal to the Flagpole's height.

Solana's Flagpole height is rough, $175. As a result, its breakout move from the Triangle's resistance trendline (~$158) prompts SOL to grow by another $175, thereby setting its profit target above $275.

Cardano price paints ‘death cross’ with ADA at two-month lows vs. Bitcoin

October 19, 2021 Coin Telegraph

ada

ADA price has been struggling against the U.S. dollar in October.

Cardano (ADA) has formed a deadly "death cross" on its daily chart against Bitcoin (BTC) — a market signal that's generally seen as a warning of more downside in the near term.

The ominously-titled indicator kicks in when an asset's short-term moving average closes below its long-term moving average. In doing so, it calls for technically-minded traders to increase their bearish positions in the market.

ADA/BTC in trouble

On Tuesday, ADA's 50-day exponential moving average (50-day EMA; the velvet wave) dropped below its 100-day exponential moving average (100-day EMA; the blue wave). That marked the sixth 50–100 EMA bearish crossover ever on the ADA/BTC daily chart, raising fears of further declines ahead.

*ADA/BTC daily price chart featuring Oct 2021 death cross. Source: TradingView*

That is partly due to ADA's earlier price reactions to death crosses. For instance, in September 2020, the Cardano token's price dropped almost 38.50% against Bitcoin after painting a 50–100 EMA bearish crossover.

Similarly, a death cross pattern on May 12, 2019, subsequently saw a 62.50% price decline.

*ADA/BTC daily price chart featuring May 2019 death cross. Source: TradingView*

Nonetheless, the likelihood of an immediate selloff remains relatively low. That is mainly because ADA's daily relative strength index (RSI), which alerted the token's status against Bitcoin as oversold, is below 30. Traders typically treat an excessively sold RSI as their cue to enter the market.

For instance, in May 2019, the death cross's formation coincided with the RSI treading below 30. Later, the price bounced by over 30% to retest the 50-day and 100-day EMA waves as resistance, underscoring traders' intention to buy oversold cryptos.

Applying the same fractal to the current price action, one can expect the ADA/BTC rates to bounce back, especially as it drops to its two-month-low at 0.00003372 BTC runs down to retest a five-month-old support area defined by 0.00003192–0.00003075 BTC (the red bar in the first chart above).

That inverse Cup and Handle

A weakening ADA/BTC rate merely reflects Cardano's clumsy performance against the U.S. dollar in recent sessions versus Bitcoin, which has surged massively against the greenback in the same timeframe.

For instance, Bitcoin's month-to-date gains against the dollar sit around 43%. In comparison, Cardano's price has slid by over 6% during the same period.

But further weakness could be expected, according to an inverse Cup and Handle pattern taking shape on its dollar-quoted charts.

*ADA/USDT daily price chart featuring inverse cup and handle pattern. Source: TradingView*

In detail, inverse Cup and Handle patterns appear when the price forms a large crescent shape followed by a modest upward retracement.

Analysts consider them as bearish reversal indicators, for they tend to send the price down by as much as the maximum distance between the Cup's top and its right-hand's bottom level if the price breaks below the pattern's support.

ADA's recent price action fits the inverse Cup and Handle description, with the price now looking to break below the structure's resistance line near $1.97. As a result, the downside target price is the $0.772–$0.820 area if Cardano confirms a bearish breakout.

Uniswap (UNI) price jumps by 15% in DeFi, cryptocurrency market rebound

September 15, 2021 Coin Telegraph

ADAUSD

The jump in UNI/USD rates has quickly met with sellers at local top levels.

Uniswap (UNI) was among the best performers among the top-cap cryptocurrency tokens in the previous 24 hours, logging better gains than some top cryptocurrencies, namely Bitcoin (BTC), Ether (ETH), and Binance Coin (BNB).

On Sept. 15, the UNI/USD exchange rate jumped 13.26% to hit its seven-day high $25.68. Traders continued to bid higher on the pair entering Wednesday, pushing its value higher to $26.07 at one point in time, up more than 15% from the previous session's open of $22.66.

Market-wide recovery behind UNI gains?

A majority of Uniswap's gains in the previous 24 hours seems to have surfaced in the wake of a market-wide recovery.

For instance, the said timeframe witnessed Bitcoin, the benchmark cryptocurrency that enjoys heavy influence on the rest of the crypto tokens, climbed above $47,000 following a 4.85% upside move on Tuesday. Meanwhile, Ethereum saw its native asset ETH rallying toward $3,500 in a 4.57% price jump.

Elsewhere in the crypto market, Binance Coin, XRP, Dogecoin, Luna, and Chainlink also rose. In contrast, smart contracts platform Solana's native asset SOL fell 6.47% following a denial-of-service disruption on its network.

At the same time, Cardano (ADA), one of Solana's top rivals, dropped by more than 1%.

*The performance of the top 15 cryptocurrencies in the past 24 hours. Source: TradingView.com*

At first, the gains among the top tokens, including Uniswap, looked to have been helped by capital rotations out of SOL and ADA markets.

In detail, Solana's market cap surged by more than 400% quarter-to-date following its foray into the booming nonfungible token (NFT) sector, providing traders a decent opportunity to lock interim profits. Additionally, the network outage accelerated the profit-taking scenario.

Solana mainnet-beta is experiencing intermittent instability. This began approximately 45 minutes ago, and engineers are investigating the issue.
— Solana Status (@SolanaStatus) September 14, 2021

On the other hand, Cardano attracted speculation because of its Alonzo upgrade that made it a smart contracts platform for the first time since launch. In addition, it's 2,500% year-to-date performance gave traders adequate opportunities to "sell the news" and secure gains.

UNI holders are masters of 9.15M MIR tokens

Uniswap's superior performance in the previous 24 hours also took cues from speculation that holding UNI could grant them access to airdrop tokens.

In a recent note, Brendon Murray, content marketing manager at Boston-based blockchain analysis firm Flipside Crypto, cited Twitter user jr3225's research. The study cited many UNI holders failed to realize that they could claim 9.15 million of the synthetic asset platform Mirror Protocol's MIR tokens via a December 2020 airdrop.

In comparison, LUNA stakers could claim more free MIR tokens than UNI ones—MIR/USD has surged 200% this year.

*Total MIR claimed on the y-axis, airdrop-type on the x-axis. Source: @jr3225*

The report, published Tuesday, coincided with the UNI price pump.

Uniswap technical outlook

Uniswap's latest rally had it test a support confluence made up of falling trendline resistance and the 38.2% Fib line (~$26.093) of a Fibonacci retracement graph (drawn from a $42.89-swing high to $15.70-swing low).

*UNI/USD daily price chart. Source: TradingView.com*

Sellers took control near the confluence, prompting UNI/USD to correct by 4.59% to an intraday low of $24.50. Its next support target is—again—a confluence of 23.6% Fib line ($22.12) and the ascending trendline that overall constitutes a Rising Channel.

An interim bullish outlook entails UNI/USD breaking above $26.09 and step towards the next Fib levels ($29.30, $32.51, and so on) unless the pair reaches the Rising Channel's upper trendline near $42.89.

Meanwhile, a bearish setup could see UNI/USD break below $22.12 Fib line and the Channel support to target $15.70.

Sell the news? ADA price drops 10% following Cardano’s long-awaited smart contracts rollout

September 13, 2021 Coin Telegraph

ADA price

The so-called "Alonzo" upgrade did little in protecting Cardano from falling in tandem with the rest of the cryptocurrency market, though bullish technical factors remain.

The price of Cardano (ADA) fell on Sept. 13 in line with the other top cryptocurrencies despite the completion of its hard fork upgrade dubbed "Alonzo," which introduces smart contract functionality.

The ADA/USD exchange rate dropped 10.67% to reach its intraday low of $2.3, partly due to profit-taking sentiment among traders following the pair's 1,200%-plus price rally this year. Additionally, the intraday sell-off also surfaced in the period of an overall crypto market decline, with top tokens Bitcoin (BTC) and Ether (ETH) falling 4% and 6.97%, respectively.

*Top 10 cryptocurrency tokens and their performance in the last 24 hours. Source: Messari*

Cardano's drop appeared when its core foundation rolled out a long-awaited smart contracts feature on its public blockchain for the first time. The launch expects to tap the booming decentralized finance (DeFi) and nonfungible token (NFT) sector as they grapple with slower and costlier transaction fees on the leading smart contracts platform, Ethereum.

As a result, anticipations for an extended upside boom in the ADA markets were high, with the Value Trend, a financial analyst at Seeking Alpha, expecting the Cardano native token to hit $10 should it flip Ethereum to become the leading smart contracts platform.

Overall, the belief helped ADA/USD deliver strong profits in the days approaching the Alonzo upgrade. On July 20, the pair was trading for as low as $1. Later, on Sept. 2, its value has risen to a record high of $3.16, a 200% rebound.

Bullish continuation signals persist

Bullish assets tend to consolidate sideways or lower following a strong move upside, majorly as some traders decide to secure their profits. At the same time, investors with a long-term bullish outlook buy the asset from weak hands to build long-term investment strategies.

The Cardano chart below hints at undergoing a similar consolidation phase after delivering a strong 200%-plus bull run. As a result, the probability of the ADA/USD exchange rate continuing its uptrend remains high.

*ADA/USD daily price chart featuring Bull Flag formation. Source: TradingView.com*

The rectangle pattern appears like a Bull Flag. And, as a general rule, the profit target for bulls in a Bull Flag scenario is the same as the length of the previous uptrend.

*ADA/USD daily price chart featuring Bull Flag target. Source: TradingView.com*

A break above the upper Bull Flag trendline (at $2.93) could put ADA/USD en route toward $4.5.

Additionally, the Cardano token would need to maintain its foothold above its 50-day exponential moving average (50-day EMA; the velvet wave) near $2.27 to keep its interim bullish bias intact. A drop below the Bull Flag support and 50-day EMA floor would risk sending ADA to $1.92, its support line from mid-August.

Analysts shared deeper price targets, with a pseudonymous Twitterati spotting a "Double Bottom" scenario, adding that traders are selling the news.

#Cardano smart contract upgrade so far going as I have predicted: Sell the news.

The price also formed a double top and now forming a lower low. If $2.25 is breached then down we go even more.

$1.20 soon? pic.twitter.com/riFirqmCgz
— Rautakansleri (@rautakansleri_) September 13, 2021

Cerbul, another market analyst, said ADA's ongoing plunge was not due to the "sell the news" sentiment, adding that more capital would flow into the Cardano ecosystem from the DeFi sector.

"Accumulate," he said.

Solana rally mimicking Ethereum? Why a $500 SOL price target could be ‘conservative’

September 9, 2021 Coin Telegraph

<div>Solana rally mimicking Ethereum? Why a 0 SOL price target could be 'conservative'</div>

ADAUSD

The sixth-largest cryptocurrency by market cap remains one of the best performers despite the overall crypto market losing more than $200 billion.

A high-flying Solana (SOL) refused to land even in the face of a brutal sell-off in the cryptocurrency market on Tuesday. Two days later, the price of SOL rebounded to another new all-time high.

The SOL/USD exchange rate averted a big pullback over the previous 48 hours and reached $217 for the first time in history.

The pair's ability to sustain bearish pressure underscored investors' growing interest in Solana's blockchain as an emerging rival to Ethereum, a public ledger currently leading the decentralized finance (DeFi) and nonfungible token (NFT) sector boom.

*SOL/USD daily price chart. Source: TradingView.com*

"The SOL outperformance in the market recently is more or less the continuation of its growth run in recent times," said Peter Kozyakov, co-founder and CEO at payment service firm Mercuryo.

"With more than two different NFT project launches and minting going on in the ecosystem per day, there is an unending demand for SOL from retail buyers. As a result, it has kept the price up more than 50% this week despite a market-wide crash."

In detail, Solana hosted the launch of the NFT Degenerate Ape Academy on Aug. 15, which featured a collection of 10,000 cartoon apes. They were sold out in just 8 minutes and involved 96,000 SOL or about $5.9 million.

Solana continued its foray into the NFT space by enabling an FTX-backed digital collectibles marketplace earlier this week. FTX, a crypto derivatives platform, revealed that their new NFT venture would enable NFT creators and owners to trade their digital arts cross-chain using Solana and Ethereum.

Solana beats top rivals

The cryptocurrency market wiped more than $200 billion off its valuation following a sudden sell-off Tuesday. The leading digital asset by market cap, Bitcoin (BTC), saw its prices plunge from over $52,000 to almost $42,000 within minutes, which analysts largely blame on cascading long liquidations.

Alternative cryptocurrencies (altcoins), which more or less tail the Bitcoin trend, dropped in tandem, with the second-largest Ether plunging by up to 23.41% and its runner-up—another smart contract rival—Cardano (ADA) dropping by 30.89%.

*Solana's top rivals Ethereum and Cardano price performance. Source: TradingView.com*

However, Solana was an exception in the sea of red. While the SOL/USD wobbled violently between gains and losses, it eventually closed the day 5.45% higher and followed it with extended upside moves in the sessions ahead.

The pair has surged almost 890% after bottoming out on July 20 at $21.96. At the same time, the total value locked inside Solana-based DeFi projects has crossed $7.81 billion, per data provided by SolanaProject.com.

Greg Waisman, co-founder, and chief operating officer at Mercuryo, told Cointelegraph that he anticipates SOL to reach $500 by the end of 2021. He noted:

"Solana’s growth runs appear to be mimicking that of Ethereum (ETH) and Binance Coin (BNB), and the $500 projection may turn out to be a conservative one for the coin."

Ethereum price breaks $3,500 and hits 3-month highs against Bitcoin

September 1, 2021 Coin Telegraph

Ethereum price breaks ,500 and hits 3-month highs against Bitcoin

ADAUSD

The second-largest cryptocurrency reaches its best levels against Bitcoin and the dollar in more than three months.

Ethereum's native asset Ether (ETH) has extended its rally on Sep. 1 to log multi-month highs against Bitcoin (BTC) and the United States dollar (USD).

The ETH/BTC exchange rate rose 3.13% to hit 0.07475 for the first time since June 9. Meanwhile, bids for ETH/USD climbed 3.4% to $3,546, the highest since May 18, showcasing a renewed upside sentiment in the second-largest cryptocurrency market after it consolidated sideways for more than three weeks.

*ETH/USD and ETH/BTC daily price chart. Source: TradingView.com*

Ether's price jump appeared despite a wobbling price behavior across the cryptocurrency market. For instance, Bitcoin prices remained stuck around $47,000 while eyeing a clear breakout move above their psychological resistance level of $50,000.

Similarly, Ethereum's top rival Cardano (ADA) also consolidated sideways following its 100%-plus price rally in August, while its market dominance fell from 4.54% between Aug. 8 to 4.26% at the time of writing.

*Cardano prices versus its market dominance against all the cryptocurrencies. Source: TradingView.com*

The same period witnessed Ethereum's market dominance rising from 18.17% to 19.65%, hinting that Ether attracted capital out of assets with interim overstretched valuations.

Hodling detected

Ethereum's run up above $3,500 coincides with a decline in ETH reserves across all exchanges.

Blockchain analytics firm CryptoQuant reported that the amount of Ether held in exchange wallets has declined from 19.45 million on Aug. 18 to 18.75 million today.

However, analysts perceive falling reserves as bullish, arguing that traders primarily withdraw their coins from exchanges because they choose to hold them instead of selling them for other assets.

*Ethereum balance across exchanges drop as ETH/USD rise. Source: CryptoQuant*

Additionally, more upside cues for Ether prices have emerged due to supply squeeze prospects.

CryptoQuant data shows that more than 6% of Ether's supply now stands locked inside the Ethereum 2.0 smart contract, i.e., about 7.28 million ETH, worth $25.77 billion at current exchange rates.

*Total value staked in Ethereum 2.0 smart contract exceeds $25 billion. Source: CryptoQuant*

Additionally, a new Ethereum network update, dubbed "London Hard Fork," has introduced a protocol that burns a fraction of its gas fees. Since its introduction on Aug. 5, the so-called EIP-1559 has removed 156,986 ETH worth over $555 million out of supply, per data provided by WatchTheBurn.com.

Demand prospects against supply squeeze

Ether has already climbed over 380% in 2021, its gains boosted by the emerging decentralized finance (DeFi) and nonfungible token (NFT) sector. In comparison, Bitcoin has gained 62% year-to-date against the dollar.

Payal Shah, director of equity and cryptocurrency product development at CME Group, noted that Ethereum is equivalent to DeFi, a sector that enables users to trade, as well as borrow and lend directly assets to one another without involving central authorities like banks.

"Ethereum hosts more than 200,000 ERC tokens, some of which are part of the top 100 largest cryptocurrencies," Shah wrote in a note published mid-August.

"Together, with the accessibility of DeFi and the draw of better interest rates, more and more retail consumers will likely turn to the DeFi space."

Data tracker Dapp Radar reports that the total value locked inside Ethereum-backed DeFi protocols has crossed $100 billion.

Cardano rivalry

But Ethereum is racing against a long list of rivals as it grapples with network congestion and higher fees issues. For instance, Cardano employs a dual-layer design to perform computations and settlements separately and thus solve the network congestion issues.

Additionally, Cardano consumes almost no energy due to its PoS system. Ethereum expects to switch fully to proof-of-stake by 2022-2023, which gives Cardano and similar Ethereum rivals a lot of room to grow.

But Ethereum has a first-mover advantage in the blockchain space, compared to Cardano, which has very few decentralized applications to show.

"Ethereum is the place to be, already boasting thousands of DApps," said investment analysts at the Value Trend, adding that:

It simply makes more commercial sense, at the moment, to build an app on Ethereum.

ADAUSD

What makes SundaeSwap bullish for ADA?

ADA to $2?

Sharp ADA rebound underway

Accumulation area

Risks remain for ADA’s price

Nearly 64% of ATOM's total supply is staked

Avalanche fractal highlights ATOM's potential

$100M fund launch boosts SOL's bullish outlook

Correction risks for SOL price

Solana rallies on NFT craze

SOL to hit $275 next?

ADA/BTC in trouble

That inverse Cup and Handle

Market-wide recovery behind UNI gains?

UNI holders are masters of 9.15M MIR tokens

Uniswap technical outlook

Bullish continuation signals persist

Solana beats top rivals

Hodling detected

Demand prospects against supply squeeze

Cardano rivalry

Share this video