Cardano price returned to the spotlight after ADA posted a sharp rebound with the wider crypto market. The token gained 7.15% in 24 hours, placing it among the strongest large-cap movers. Bitcoin’s push above $71,000 also helped lift sentiment across major altcoins.
Consequently, attention shifted back to Cardano’s (ADA) weekly chart. That chart now shows two major reversal signals that could shape the next phase. A double bottom and a tightening falling wedge now support the case for a bigger advance. If both signals confirm, Cardano price could build a path toward $5 over time.
Cardano Price Finds Strength at a Familiar Support Zone
The strongest part of the bullish case starts with support. Cardano’s price has now defended the same area in two separate market periods. The first low appeared in June 2023 near $0.2200. That level marked the lowest point of that cycle. From there, ADA recovered and reached $0.810 in March 2024. The rally later extended to $1.320 in December 2024. However, the recovery lost momentum after that peak.
The market then entered another long decline. Sellers pushed ADA lower through a series of weaker rebounds. That slide finally brought Cardano price back to $0.2205 in February. The new low almost matched the June 2023 bottom. Besides, the similarity between those two lows gave the pattern more significance. Traders often watch repeated support tests for signs of seller exhaustion. In this case, bears failed twice to break the same demand zone.
That outcome created a textbook double bottom on the weekly chart. The pattern often signals that downside pressure has faded. It also shows that buyers still value the same price area. Significantly, the two lows formed almost three years apart. That long separation makes the structure more notable. Cardano price has since rebounded around 19% from that local floor. The recovery remains early, yet the support response has turned heads.
The second signal comes from a falling wedge. Cardano price has moved within that structure since June 2025. The pattern formed as ADA posted lower highs and lower lows. Even so, the range narrowed over time. That tightening often means that the pressure to sell is starting to ease. When prices go down, the market usually gets closer to a big break.
This setup is important because wedges are often reversal patterns. They don’t promise gains, but they often show that momentum is slowing down on the downside. Cardano price now sits near the wedge’s upper boundary. A recent weekly gain has pushed ADA closer to that resistance line. Consequently, the market now faces an important technical test. A clean breakout would signal that buyers have regained control.
Some analysts also view the decline as a three-part corrective move. The first leg dragged ADA lower from its December 2024 peak. A relief rally then lifted Cardano price to $1.020 in August 2025. After that, a final correction returned ADA to the second bottom near $0.2205. That sequence fits the broader wedge structure. Moreover, it suggests the correction may have matured.
Fibonacci Targets Point to the Next Major Milestones
The $5target comes from a Fibonacci extension rather than a random forecast. Once traders confirm a breakout, they often use extensions to map the next likely path. In this case, the 1.618 extension points are near $5. That level would mark a new all-time high for ADA. A move from about $0.263 to $5 would equal roughly 1,801%.
Still, Cardano price is not likely to jump there in one straight line. Several resistance levels stand in the way. The first major level sits near $2.037. Another key zone appears around $3.160. Both levels align with widely watched Fibonacci markers. Consequently, they could slow the pace of any rally. Traders often take profits at those levels, especially after sharp advances.
Even so, the size of the target has fueled fresh discussion around ADA. A confirmed wedge breakout could turn those projections into active market milestones. Besides, the setup arrives after a long period of weak sentiment. That timing matters because strong reversals often begin when expectations stay low. Cardano price has already shown it can respond quickly to support. The next challenge involves carrying that momentum through overhead resistance.
Large Holders Keep Adding as Sentiment Improves
On-chain behavior has also backed up the bullish case. Recent Santiment data shows that the number of wallets with 10 million ADA or more is steadily going up. The total rose to 424, which was the highest level since December. Also, that rise happened while the price of Cardano was under pressure. That detail is important because it implies that people are buying during weak times instead of strong ones.
Source: X
The pace of that growth also stands out. The count rose 5.2% across nine weeks. That type of move looks measured and deliberate. Large holders often build positions gradually when sentiment remains soft. Consequently, the trend suggests growing confidence beneath the surface. It does not confirm a breakout on its own. However, it does strengthen the broader setup.
This pattern also fits earlier crypto cycles. Large wallets often add during quiet periods, then broader participation appears later. Cardano price may now sit in a similar stage. Besides, accumulation trends often matter more when they align with supportive chart structures. Here, both conditions appear at the same time.
Momentum Gauges Show Early Strength, but Confirmation Still Matters
Short-term indicators now show improving momentum. The Relative Strength Index sits near 51.68, which places ADA in neutral territory. However, the reading sits above 50. That position often signals moderate buying pressure. The line has also tilted upward, which suggests momentum has started to improve. Cardano price needs to hold that level to keep the signal intact.
Source: TradingView
The MACD also leans bullish. The MACD line has crossed above the signal line. That crossover often points to a shift in short-term momentum. Additionally, the histogram has turned green. Those bars suggest buying activity has started to build. Even so, the move still needs stronger follow-through. Early momentum can fade quickly without a break above resistance.
Final Take
For now, Cardano price still faces two near-term levels that could decide the next move. Support sits near $0.259. Resistance stands near $0.30. If ADA breaks below support, sellers could press for another decline. However, a push above $0.30 would strengthen the bullish case. It would also support the idea that the wedge breakout has started.
