During Thursday’s market session, the crypto market experienced high volatility as Bitcoin, for the first time, surpassed $100k before an immediate reversal. According to CoinGlass. The sharp pullback triggered a substantial liquidation of $1.02 Billion, asserting a downward pressure on the altcoin market. Will renewed selling pressure push Cardano price below the $1 mark?
By press time, the ADA price trades at $1.16 with an intraday loss of 1.8%. According to Coingecko, the asset’s market cap stands at $41.7 Billion, while the 24-hour trading volume is $3.5 Billion.
Key Highlights:
- The Cardano price witnesses a steady uptrend amid the formation of a rising wedge pattern.
- The BTC price fake breakout from the $100k level could accelerate selling pressure in the crypto market.
- $1.04 and $0.87 stand as immediate support for ADA buyers in case of a potential pullback.
Cardano Price Faces Correction Risk Amid Bitcoin Uncertainty
For over a month, the Cardano price recorded a sharp recovery from $0.326 to $1.154, accounting for a 250% surge. An analysis of 4 hours shows the uptrend started resonating within two converging trendlines, indicating the formation of a rising wedge pattern.
Typically, this pattern exhibits a sharp recovery trend that eventually loses momentum, often leading to a bearish breakdown. At present, the ADA price is testing the lower boundary of its support trendline, aiming to find a foothold for the next recovery attempt.
However, the Bitcoin price struggle to sustain above $100k has sparked uncertainty among market participants and speculation on a renewed correction. If true, the coin price could breach the support to witness an accelerated selling pressure.
The post-breakdown could plunge the asset 24.5% to test support at $0.814.
ADA Eyes 20% Rebound as Whales Drive Bullish Sentiment
In a recent tweet, renowned crypto trader Ali Martinez highlighted growing market confidence in Cardano, as whale investors have accumulated over 100 million ADA tokens in the last 24 hours.
Such large-scale acquisitions often act as a precursor to price movements, signaling bullish sentiment among major stakeholders. Thus, the Cardano price holds an opportunity to rebound within the wedge pattern and over 20% to hit the overhead trendline at $1.4.
#Cardano whales bought over 100 million $ADA in the last 24 hours! pic.twitter.com/IrZjA54tGy
— Ali (@ali_charts) December 5, 2024
A potential breakout from the overhead trendline could defy the bearish thesis and bolster coin buyers for a rally to $2.
Source: https://www.cryptonewsz.com/will-btc-100k-fake-cardano-price-1/