Cardano’s Bullish Reversal Gains Traction as $0.50 Support Holds
Cardano (ADA) has successfully defended the $0.50 support level,signaling a potential shift to a bullish market. This support has been crucial in forming a higher low, which could lead to a long-term move toward $2.04.
After a long bearish period, Cardano has shown strength with a clean breakout from its accumulation phase. This breakout confirmed a new swing high, marking the first meaningful bullish structure in months. The current correction,now stalling at $0.50, suggests a higher low is forming.
Key technical points include:
- $0.50 Key support Level: Price has been consolidating above this zone for weeks, indicating a higher low in the bullish market structure.
- Market Structure Shift Confirmed: A new swing high confirms a bullish reversal from the previous downtrend.
- $2.04 Swing Target: This level marks the next key resistance and a realistic long-term objective once upside momentum returns.
The value area low during the bear market acted as a long-term accumulation zone. An impulsive breakout triggered the first true structural shift, breaking above previous lower highs and confirming a swing high. Since then, price action has retraced in a controlled manner and is now basing at the $0.50 support.
This support level is significant due to the time spent consolidating here. Multiple weekly closes above this region suggest strong buyer presence.From a technical viewpoint, this retest can be seen as a bullish retest of broken resistance now turned support.
Price may continue to range near this zone over the coming weeks. However, as long as the $0.50 support remains intact, the current correction will serve as a base for the next expansion phase.Once momentum returns, the next logical target is the $2.04 high-timeframe resistance.
Cardano’s bullish market structure remains intact provided that $0.50 holds. This level is likely a higher low forming in a broader uptrend. A breakout from this region could initiate a macro rotation toward $2.04, continuing ADA’s long-term recovery and trend reversal from the recent bear market.
