Cardano Price Eyes 25% Rally As Binace Pay Adds ADA

Cardano price began gaining some strength as the price broke above some key resistance levels. While it has not cleared the main barrier, this upside move represents a significant shift from its prior downward trend. The price of ADA increased 3%, alongside the entire crypto market, and is trading at $0-.3437. Meanwhile, Binance Pay has added support for ADA, and now merchants everywhere can use ADA with zero fees and fast transactions. This, plus the sudden spike in the price of Bitcoin and other cryptos, may have contributed to the abrupt change in the ADA price trend.

Cardano Price Rises Higher on a Stream of Good News

According to the Cardano Foundation post on their X (Formerly Twitter) account, Binance Pay will now accept ADA, and merchants worldwide can enjoy zero fees and instant settlement. 

Merchants worldwide can now accept $ADA with @Binance Pay! 🌐

Enjoy zero gas fees, instant settlement, and access to 30M+ users globally. Upgrade your business with seamless Cardano payments today.https://t.co/rTF4PHJDhd

— Cardano Foundation (@Cardano_CF) August 19, 2024

Binance Pay has over 30 million users globally, a huge step for Cardano toward mass adoption. 

This news comes shortly after the massive success of the Cardano Hydra Layer 2 solution at the RareEvo blockchain event in Las Vegas. The Hydra demo performed on a dedicated game called DOOM has done more transactions than the entire history of Cardano mainnet at extremely low costs. This is huge for Cardano price.

Traders Are Betting on ADA to Rise Higher

With the recent shift in market bias, traders have also changed their stance. Almost overnight, sentiment on Cardano changed to bullish, as data from the Coinglass Liquidation Map shows that there is more Cumulative Long Liquidation Leverage ($10M) compared to Shorts ($3M). The disparity between the two groups sheds light on market sentiment and reveals that traders are anticipating the price to move higher.

A deeper analysis of the LM shows that the size of Shorts has reduced drastically, as has the volume. Most traders have opened Long positions at $0.339 and $0.324. 

Cardano Price Can Extend Gains by 25%

ADA price action has broken above the upper boundary of the falling wedge, indicating a potential bullish reversal. The previous downtrend has been challenged by this breakout, and momentum appears to be shifting toward the upside.

The price of ADA is likely to experience some resistance at $0.3621, which coincides with the 200-day exponential moving average (EMA) and the top of the current consolidation zone the asset is in. Beyond this, Cardano price could surge 25% to the $0.4500 level, which could act as a stronger resistance and a critical point for the continuation of the upward move.

The relative strength index (RSI) is currently at 60.45, indicating bullish momentum but not overbought. This supports further upward movement but suggests that the price might face some resistance as it approaches higher levels.

If the Cardano price breaks below $0.3280, it will likely confirm a bearish reversal, invalidating the current bullish thesis. A further downside could see the price targeting $0.3220 and below.

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Evans Karanja

Evans Karanja is a content writer and scriptwriter with a focus on crypto, blockchain, and video gaming. He has worked with various startups in the past, helping them create engaging and high-quality content that captures the essence of their brand. Evans is also an avid crypto trader and investor, and he believes that blockchain will revolutionize many industries in the years to come. When he is not writing, you can find him playing video games or chasing waterfalls.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.