Technical analysis by John_Isige about Symbol ADA on 10/25/2025

Cardano (ADA) shows signs of stabilization, forming a clean W-pattern on the daily chart — a potential signal of renewed bullish momentum. After weeks of consolidation, ADA is now approaching a key decision area near the 50-day EMA, with the broader structure hinting at a possible breakout if Bitcoin continues to trade steadily. Technical Setup The chart structure remains constructive: •The MACD histogram shows fading bearish momentum, and a bullish crossover is forming — a classic setup for trend reversal. •The RSI has broken above 50, confirming an early shift toward buying pressure. •Price is moving toward upper liquidity zones, as visible on the heatmap, suggesting that traders anticipate short liquidations in higher ranges. Meanwhile, a liquidity pocket has formed below current levels, providing a potential demand zone in case of a short-term dip. This setup supports the view of an accumulation phase before continuation. ⸻ 4H Chart — Testing the 50 EMA On the 4-hour timeframe, ADA trades directly at the 50 EMA, which now acts as the first technical barrier for buyers. A decisive break and retest above this level would validate the bullish thesis and open the way toward the 200 EMA, aligning with the top of the W-pattern. If the breakout fails, the ascending triangle currently in play could break to the downside, leading to short-term selling pressure before new support forms. Liquidation data also show a neutral delta, signaling balance between longs and shorts — a common prelude to a volatility spike once one side gains control. ⸻ Outlook As long as ADA stays above local support, the technical structure remains bullish within a consolidative base. A breakout above $0.46–$0.48 (50 EMA zone) would likely trigger momentum toward $0.52 (200 EMA), while failure to hold this level could push price back toward $0.42–$0.40 support. ⸻ 💡 Bias: Bullish above 0.46, neutral below 0.44. Key Levels: •Resistance: 0.48, 0.52, 0.55 •Support: 0.44, 0.42, 0.40