- Cardano is testing a key ascending channel support for the third time, with past bounces triggering major rallies.
- If the pattern holds, ADA could rise to $2.40, representing a potential 550% gain.
Cardano (ADA) is showing signs of a major price move as it retests a key ascending channel for the third time since early 2023. Traders and analysts alike are closely watching this development, with historical patterns pointing to a potential surge toward $2.40.
A Familiar Pattern with Powerful Implications
Since early 2023, ADA has consistently respected an ascending price channel, bouncing cleanly from its lower boundary. The first two times ADA hit this support, it launched rallies of 200% and 300%, respectively. Now, ADA trades at around $0.87, hovering just above this same critical support zone.
CARDANO MASSIVE UPTREND OPPORTUNITY📈🔥$ADA has been trading within this clean ascending channel since early 2023, and every time it tapped the bottom trendline, it delivered massive upside.
✔️ First bounce: +200%
✔️ Second bounce: +300%Now we’re seeing the same setup… pic.twitter.com/VlF4tLpnW4
— Bitcoinsensus (@Bitcoinsensus) July 22, 2025
This repeating structure is being described as a “fractal” by analysts at Bitcoinsensus. Fractals in trading are recurring patterns that often help predict future price movements. Because the current setup closely mirrors the previous two bounces, confidence is high that ADA could be gearing up for another strong upswing.
Fibonacci Extensions Align With Target
The projected target of $2.40 is not arbitrary. It closely aligns with major Fibonacci extension levels—a tool many traders use to forecast where prices might stall or reverse. The $2.40 mark also corresponds with the upper boundary of the ascending channel, reinforcing its significance.
For ADA to reach this level, it must break through mid-range resistance and maintain momentum. While ADA has recently seen a 17% rise over the past week, the price has remained somewhat cautious, dipping slightly in the last 24 hours. Interestingly, such periods of consolidation often precede major moves based on technical structure.
What’s Next for Cardano?
The critical point to watch is whether ADA can confirm support once again at the bottom of the channel. If it does, the fractal pattern remains intact, and the potential for a 550% rise from the current price level to $2.40 looks promising.
Investors and traders will want to keep a close eye on this trendline, as the historical precedent suggests that Cardano’s next big move could be just around the corner.
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