Recently, crypto analyst @XForceGlobal shared a new video chart analysis focusing on Cardano (ADA), a cryptocurrency that many are currently overlooking as a “dinosaur coin.” In the analysis, XForceGlobal provided an in-depth look at Cardano’s current position within the Elliott Wave cycle, suggesting that ADA is on the brink of entering a strong upward phase known as “Wave 3.”
Comparing ADA to Solana (SOL), XForceGlobal highlighted similarities in their price trajectories under comparable market conditions. By using logarithmic price charts, the analyst showcased the Elliott Wave structures, pointing out a WXY corrective pullback followed by a new impulse wave setup. This comparison with Solana’s wave count reveals similar patterns that caught many off guard, including both bulls and bears.
The Elliott Wave Theory, fundamental to XForceGlobal’s analysis, proposes that markets move in repetitive cycles of waves driven by investor psychology. According to the analyst, ADA is reflecting the early stages of Solana’s previous rally, which experienced significant gains upon entering the third wave of its cycle. Currently positioned in what seems to be the second wave after a corrective pullback, ADA appears poised for strong bullish momentum.
Looking ahead, XForceGlobal projects a conservative estimate of a 5x to 10x increase in ADA’s price. This prediction draws from not only Elliott Wave analysis but also comparative historical data from other high market cap altcoins like XRP, currently in similar positions within their market cycles. Wave 3’s are typically the most profitable, potentially outperforming coins like XRP, which are currently in Wave 3 to 4, with uncertain outcomes for Wave 5.
To assess the risk-reward ratio, the analyst uses a long positioning tool indicating a 14 or 15 : 1 risk-reward potential, based on a prospective 600% run. Additionally, XForceGlobal stresses the significance of historical context and the oversight of “dinosaur coins” in favor of more recent, meme-driven cryptocurrencies. XForceGlobal believes that coins like Cardano, with a long price history, may be setting up for a new rally amid the memecoin narrative.
XForceGlobal paints a highly optimistic outlook for ADA, highlighting its potential for significant growth. Comparing Cardano’s past performance to its current structure, the analyst suggests that ADA could target around $3 with the impending Wave 3. Despite trading at $0.3842 at the time of the analysis, Cardano may be on the cusp of substantial appreciation in value.
This analysis underscores the importance of considering historical trends, investor psychology, and technical indicators when evaluating the prospects of cryptocurrency assets like Cardano. As the market continues to evolve, it is essential for investors to conduct thorough research and analysis to identify potential opportunities for growth and success in the dynamic world of digital assets.
