Buy Signal Could Mark End of Cardano Decline, Bitcoin Cash Builds Momentum for Next Leg Up

After more than three weeks of decline, Cardano (ADA) has flashed a buy signal. According to analysts, the bullish momentum could push the Cardano price above the $1 resistance, which it failed to crack last month.

In the meantime, the price of Bitcoin Cash (BCH) has been building momentum while most of the market has been down. Analysts predict that the Bitcoin Cash rally is only just beginning, thanks to its breakout of a multi-year descending trendline. 

Cardano (ADA) Flags Buy Signal Amidst Audit Victory

Since the Cardano price failed to form a support level above the $1 mark in mid-August, it has been on a steady decline. Consequently, the Cardano price has fallen to the range of $0.81 as a result of the correction.

Amidst this decline, the popular crypto analyst on X, Ali_Chart, has reported that the TD Sequential indicator has flashed a buy signal on the daily chart. The signal comes as Cardano clears a months-long scandal over its voucher redemption scheme with a detailed third-party audit. 

After examining thousands of documents and 18 formal interviews, the law firm McDermott Will & Schulte and the audit firm BDO reached a verdict that no insider stole ADA allocated to voucher holders.

AltcoinCryptoGems confirms the bullish sentiment, saying that there is a very clear bullish structure holding on the Cardano chart. The bullish structure hinges on the Cardano price holding the $0.800 support level.

As long as this support level holds, the analyst predicts that the Cardano price could rally as high as $1.3, which would be its highest price level since early 2022, per CoinMarketCap.

The analyst who called the Cardano price rally at $0.30, CryptoSanthoshK, has said that the Cardano price action is worth watching. He explained that Cardano has currently formed an ascending triangle pattern that could fuel a rally above 1$ right away. He sets his target for ADA as high as $1.8.

Long-Term Breakout Could Fuel Bitcoin Cash (BCH) Rally To $1,000

While the rest of the crypto market has been on a downward trend, the Bitcoin Cash price has been rising. Over the last seven days, the BCH price has increased by more than 6%, pushing it briefly above $600. However, Bitcoin Cash has undergone some correction and now trades around $586.

The reputable crypto analyst on X, CW, shared in a post that Bitcoin Cash has just broken through its 8-year BCH/BTC convergence. With Bitcoin Cash’s price above the descending trendline, the analyst says that this will be the first rally for Bitcoin Cash in eight years.

If Bitcoin Cash holds above this trendline and goes on a rally, it could push the altcoin price above $1,000. However, for this to happen, the Bitcoin Cash price will need to break above two major sell walls at $620 and $700. 

Crossing these resistance levels will open the potential to extend its rally above $1,000.

What Should Investors and Traders Watch?

For Cardano, critical levels to monitor include the support zone from $0.80. Any position above this support zone means that the existing bullish structure remains in play. With Bitcoin Cash, it will be highly important to monitor the consolidation and breakout of recent price ranges. A clear breakout above $600 will indicate that the long-term bullish trend could continue.