Cardano ($ADA) has flashed a contemporary bullish signal after reaching analyst Ali Martinez’s draw back goal of $0.17, prompting expectations of a short-term rebound towards the $0.20 degree.
In an X publish on August 18, Martinez highlighted a buy signal on the every day TD Sequential indicator.
The setup emerged after a chronic decline from latest highs close to $0.20 and is commonly considered by merchants as an indication that promoting strain could also be nearing exhaustion.
In line with the evaluation, Cardano accomplished a TD Sequential “9” buy setup on the every day timeframe after falling to the $0.17 space. The analyst famous that $ADA had already reached his beforehand recognized $0.170 goal and is now positioned for a possible restoration.
Cardano hit my $0.170 goal. Now I am turning BULLISH.
The every day TD Sequential has flashed a buy signal, suggesting a rebound may very well be beginning for $ADA.
I am concentrating on $0.20 subsequent. https://t.co/tIlUR23u6x pic.twitter.com/QXa9uPD0bS
— Ali Charts (@alicharts) August 18, 2026
This outlook comes because the cryptocurrency retreats from an August peak near $0.20 earlier than discovering assist round present ranges.
Following the most recent buy signal, Martinez is concentrating on a transfer again to $0.20, which might signify a achieve of roughly 15% from the present price zone.
The $0.20 degree additionally carries technical significance, having served as a key resistance space throughout Cardano’s latest rally. It stays an vital psychological barrier for bulls.
$ADA’s elevated volatility
The bullish signal arrives after a interval of heightened volatility for Cardano. Earlier this month, Martinez warned that a number of bearish indicators, together with declining whale exercise and a promote signal on the TD Sequential indicator, may push $ADA towards $0.17. That draw back goal has now been reached, creating circumstances for the most recent buy setup.
Traditionally, TD Sequential buy indicators have been used to establish development exhaustion and potential reversal factors following prolonged declines.
Earlier $ADA buy indicators generated by the indicator have been adopted by short-term reduction rallies, though broader market circumstances stay an vital issue.
For bulls, a decisive transfer above $0.18 would strengthen the restoration case and open the door for a retest of $0.20. A breakout above that degree may shift momentum additional in favor of patrons and doubtlessly goal the $0.22 area, the place analysts beforehand recognized the subsequent major resistance space.
Nonetheless, failure to carry the $0.17 assist zone may invalidate the bullish outlook and expose $ADA to deeper losses.
$ADA price evaluation
By press time, $ADA was buying and selling at $0.17, up about 1% over the previous 24 hours. Nonetheless, the asset stays down roughly 7% on the weekly timeframe.
$ADA is buying and selling barely beneath its 50-day easy transferring common (SMA) of $0.1751 and nicely beneath its 200-day SMA of $0.2259, indicating that the broader development stays bearish.
In the meantime, the cryptocurrency’s 14-day relative energy index (RSI) of 44.29 factors to impartial momentum, suggesting that promoting strain is easing, though there may be not but a robust bullish reversal signal.
