The price of Cardano (ADA) has joined the so-called Santa rally, a trend that is amusing investors after a very volatile week. Earlier, the price of the coin dropped to a 4-week low of $0.7659 and entering a short period of consolidation afterward. With the latest bullish uptick, the digital currency is likely to leverage its bull flag setup to soar higher.
ADA Price and Future Projections
At the time of writing, the price of the ADA has jumped by 6.66% and was changing hands for $0.9412. According to market analyst @Av_Sebastian, there is a whole lot of reasons to agree with the ADA bull flag formation. He presented an ADA/USD 1D chart that shows Cardano breaking out around the $0.93 price mark.
Multiple people have pointed out to me that there might be a huge bullish flag on the $ADA chart and I must agree with them.
Crypto market seems to be turning around, all coins seem to be recovering right now.
Is this the beginning of the Christmas pump? https://t.co/Tkkh2HGcnP pic.twitter.com/0NQ8jcXRkn
— Sssebi (@Av_Sebastian) December 24, 2024
Notably, this price level formed a strong resistance for ADA over the past week. With just a few attempts to break above this level within this period, the ongoing rally marks a significant stride. The bull flag is a technical setup formed in periods of consolidation within an uptrend.
If Cardano ends up with a bullish candle on the daily, the coin might eventually break the $1 price mark in the short term. This projection aligns with previous ADA price analysis where top analysts project a $2.60–$2.80 based on Elliott Wave projections.
Is Cardano Undervalued?
Cardano is a Proof-of-Stake (PoS) protocol, considered as an Ethereum killer. Many see the coin as undervalued, considering its growing role in the Decentralized Finance (DeFi) ecosystem.
Despite the growing backlash against the protocol and its founder Charles Hoskinson, the push for growth remains intact. Recently, Hoskinson proposed that the Cardano Foundation should move to Abu Dhabi or Wyoming in a bid to drive community governance.
The protocol, through the Chang hard fork upgrade, has made significant strides to democratize its governance systems. This, and alliances like the Bitcoin DeFi push makes ADA an appealing coin for long term growth.
The post Cardano Price Eyes Rally To New Highs As Bull Flag Appears appeared first on CoinGape.
