Cardano (ADA) Flashes Head and Shoulder Pattern, Is Breakout Imminent?

Cardano (ADA) is riding the ongoing bullish train in the broader digital currency ecosystem today. The seventh largest digital currency by market capitalization is up by 3.83% over the past 24 hours, and the price is pegged at $0.4106 at the time of writing. This 24-hour growth surge is a complement to the more than 8% growth that has been printed in the past week.

On-chain market analyst @ali_charts has shared the formation of a very rare Head and Shoulder pattern by Cardano in what can be tagged as a bullish setup for a new price run.

#Cardano is poised to confirm this head and shoulders pattern, potentially igniting a 44% breakout that could propel $ADA to $0.60. pic.twitter.com/5DjZb01avi

— Ali (@ali_charts) April 13, 2023

According to the analyst, should Cardano confirm the pattern with a breakout candle, it might be the beginning of a new uptrend for the Layer 1 protocol. Specifically, Ali noted that a breakout could fuel at least 44% growth that might push the cryptocurrency’s price to the $0.60 level.

Attaining this projected price score would be a new milestone for digital currency this year. Despite its more than 67% growth in the year-to-date (YTD) period, Cardano has not tested the $0.6 level this year with the 90-day high standing at $0.4192.

Cardano and growth driving innovation

Cardano has been touted as a highly functional blockchain protocol which, among many other things, remains one of the fastest-growing smart contract hubs around.

The protocol has been building its system since its inception and has been very strategic in releasing new innovations that are further helping to drive the overall positive outlook of the blockchain network.

While the world awaits the ultimate release of Hydra, Cardano’s scalability tool that will allow it to compete with the hoard of zkEVM products being launched today, the protocol’s users will be banking on its existing features to serve as an anchor for users looking for innovative fundamentals to hitch their wagons to.