Cardano – A second wave
At the time of writing, Cardano [ADA] appeared poised for a significant upward move, echoing its explosive rally from early 2021. Back then, after a 44% correction, ADA climbed by over 4,000% following a consolidation phase.
Analyst Ali Martinez highlighted a similar pattern unfolding today, as ADA has already undergone a comparable 43% correction.
Source: X
If history repeats itself, this could signal the start of its next leg up, potentially pushing ADA towards the $6-mark. With the timeline aligning at two to three weeks, market participants are closely monitoring this technical setup.
The Fibonacci retracement levels and strong support zones seemed to strengthen the case for another major price rally, leaving enthusiasts and traders eagerly awaiting confirmation of this bullish scenario.
43% Correction – A pattern or a red flag?
While a 43% correction may seem alarming to some, it’s worth considering whether it’s part of a larger pattern for Cardano, rather than a red flag.
Historically, ADA has shown resilience after sharp pullbacks, often bouncing back stronger. The 44% correction in early 2021, for instance, preceded an explosive rally, making such price retracements a potential signal of accumulation phases, rather than a warning of further decline.
That being said, each market cycle is unique. And, while previous behavior may be indicative of a recovery, cautiousness is advised.
Heightened activity among whales and users
On-chain metrics suggested a solid foundation for its anticipated next leg up. In fact, recent data highlighted a surge in whale transactions exceeding $100,000 and $1 million – A sign of significant accumulation by deep-pocketed investors.
This uptick coincided with a hike in daily active addresses, reflecting heightened network participation and user activity.
Source: Santiment
Notably, social volume for ADA has also risen sharply – A sign of growing interest and buzz around the asset. The data seemed to be in line with Cardano’s 2021 trajectory, signaling potential bullish momentum.
However, discerning whether this reflects genuine demand or speculative frenzy remains critical as traders assess the rally’s sustainability.
Read Cardano’s [ADA] Price Prediction 2025-26
Is $6 a realistic target for ADA?
A $6 target for ADA may seem ambitious, but it’s not outside the realm of possibility given its historical performance and current market conditions. If ADA follows the same trajectory as it did in early 2021, a rally of this magnitude could materialize in the coming weeks. Especially if support levels hold and accumulation continues. Fibonacci retracement levels and strong technical indicators also hinted at a bullish scenario.
However, reaching $6 would require not only sustained whale activity and user engagement, but also broader market confidence. Timing, broader market trends, and sentiment will play crucial roles in determining ADA’s trajectory.
