Cryptocurrency analyst @XForceGlobal has shared a recent video chart analysis focused on Cardano (ADA), a cryptocurrency that many are currently dismissing as a “dinosaur coin.” analysisXForceGlobal (@XForceGlobal) has provided an in-depth analysis of Cardano’s current position in the Elliott Wave cycle, suggesting that ADA is entering a powerful bullish phase, commonly referred to as “Wave 3.”
Cardano price may rise to $2.88
The analyst compares ADA’s current price action to Solana (SOL). Earlier this year, Solana showed a similar price trajectory in comparable market conditions. The comparison was made using logarithmic price charts, which clearly show Elliott wave structures, identifying a corrective pullback in WXY followed by a recent impulse wave setup.
“If we look at the actual Solana wave count, we can see that there was a correction in WXY. Now this corrected correction surprised us all, it did not look like a correction of a correction. It looked better as a downward impulse […] surprised everyone. Even the bulls and bears,” XForceGlobal explained.
Elliott Wave Theory, which is the centerpiece of his analysis, posits that markets move in repeating wave cycles driven by investor psychology. According to XForceGlobal, ADA mirrors the early stages of Solana’s previous rally, which saw significant gains as it entered the third wave of its cycle. The crypto analyst emphasized that ADA is currently positioned in what appears to be the second wave, following a corrective pullback that typically precedes powerful bullish momentum.
“In the previous boom alone we achieved 18,000% […] and I’m not sure why people just disregard this coin as dead. I think it’s a very good coin, but we just have to find the right opportunity in terms of timing,” the analyst said on the recording.
Delving into the potential future of ADA, the analyst projects a conservative estimate of its price growth of 5x to 10x. This forecast is based not only on Elliott Wave analysis but also on comparative historical data from other high-cap altcoins such as XRP, which are currently in similar positions in their market cycles.
“Waves 3 are usually the most profitable, if not probably better than what XRP will give us because XRP is now in waves 3 to 4 and we don’t know how wave 5 will end and that usually means the end of the trend. ADA is in wave 3 and may even be heading towards wave 5 which could even take us to higher levels which could give us a potential all-time high breakout,” XForceGlobal noted.
To determine the risk-to-reward ratio, the analyst uses a long positioning tool that suggests a 14 or 15:1 risk-to-reward potential, based on a 600% forward-looking run. Additionally, the crypto analyst emphasized the importance of historical context and the seeming neglect of “dinosaur coins” in favor of newer, meme-driven cryptocurrencies:
“I think dinosaur coins, meaning coins that have been trading since 2018 or longer and have a relatively long price history, could set us up for the next rally, since it didn’t happen during the entire memecoin narrative.”
In conclusion, @XForceGlobal emphasizes a very bullish outlook for ADA. Via X, he stated: “Cardano saw an 18,000% increase in the last bull market, but also had one of the strongest pullbacks during the bear market. The structure looks very similar to when SOL also formed a bottom for the 1-2 sequence. Wave 3 targets are around $3.”
At the time of going to press, the ADA rate was $0.3842.
Featured image created with DALL.E, chart from TradigView.com
