Cardano (ADA) has experienced a notable price surge recently, reaching $1.19 as demand for the cryptocurrency grows, particularly among large-scale investors. This surge in Cardano’s value follows significant developments that have boosted investor confidence. Notably, Cardano was included in the U.S. Crypto Reserve, a decision that has had a profound effect on its price, propelling it above the $1 mark.

Cardano’s Price Surge and Market Reaction

Cardano saw a breakout that carried it above several key technical levels. A strong bullish engulfing candle marked this price action, breaking through the 78.60% Fibonacci retracement level at $0.92, a crucial resistance level. The price of ADA surged to a high of $1.19 in just 24 hours, signaling a strong buying momentum. However, as often happens after such a sharp rise, the market experienced a pullback of about 11.62%, bringing the price to around $1.0020 at the time of writing.

Despite this short-term correction, the overall trend for Cardano remains bullish. The breakout from a falling wedge pattern that had been observed in previous analyses continues to show promise. Both the MACD and signal lines have provided a positive crossover, signaling that the uptrend could continue in the near future. Additionally, the daily Relative Strength Index (RSI) briefly entered the overbought zone, indicating that after the current pullback, the price could resume its upward trajectory.

Whale Activity and Growing Public Interest

One of the significant factors driving the recent surge in Cardano’s price is the increased interest from large-scale investors, or crypto whales. Analyst Ali Martinez pointed out that whales had purchased nearly 200 million ADA tokens in the last 24 hours, underscoring their confidence in Cardano’s potential.

Furthermore, Cardano’s presence in the social media space has seen a considerable uptick. According to LunarCrush Analytics, ADA is currently one of the most talked-about cryptocurrencies, with an average of 8,085 mentions per hour. This increase in social activity has made Cardano one of the top six most discussed cryptocurrencies, reflecting rising public interest and growing enthusiasm around the project.

Technical Outlook: $1.77 as the Next Target

Looking ahead, Cardano faces resistance at the $1.22 level, which it has yet to break. The recent pullback has brought the price closer to the 78.6% Fibonacci level at $0.92, an important support zone. Given the strong demand and bullish sentiment, a reversal back to higher price levels seems likely once the current correction concludes.

Based on Fibonacci extension levels, Cardano’s next major target could be $1.77, which would mark a new 52-week high. If the price manages to break through the $1.22 resistance, the path to higher price points becomes increasingly likely. On the downside, the crucial support zone remains at $0.92, with a more substantial support level at $0.7351. Traders will closely monitor these levels to gauge potential price movements.

Conclusion

Cardano’s recent surge, fueled by whale buying and increasing social media engagement, suggests the cryptocurrency could be gearing up for a continued upward trajectory. With technical indicators showing bullish signals and growing investor confidence, Cardano has the potential to reach new highs in the coming months. If the price breaks past the $1.22 resistance, the next target of $1.77 is within reach, making ADA an exciting asset to watch in 2025.