A key indicator has turned bullish for Cardano’s ADA after three years, sparking hopes for an “explosive rally” in the token’s price trajectory. The money flow oscillator [MO], a crucial metric to gauge the flow of money in crypto or a financial asset, flashed signs of a bullish signal in 2020 when ADA was only $0.03. Based on the indicator’s past trends, ADA is primed for a significant shift in its price movement. Data analyst Trend River also forecasted Bitcoin’s bull run using a similar analysis through the money flow oscillator, adding teeth to his analysis.
ADA is on the brink of an explosive rally. This marks the first time since 2020 that my favorite long-term indicator, the money flow oscillator, has turned bullish. It’s worth noting that when this last happened, ADA was only at $0.03. Months ago, using this same method, we successfully predicted Bitcoin’s bull run. Are you still holding?
According to Messari’s recent Q4 report for 2023, Cardano recorded notable surges both in QoQ and on a YoY basis. Notably, ADA’s 127% increase on quarter-over-quarter analysis has outperformed the broader crypto market’s surge of 53.8%.
The Q4 report also noted that the token did not react much to the SEC’s controversial statement that ADA might be considered a security. On the DeFi front, the smart contract network’s TVL jumped 166% QoQ and 693% YoY and climbed the ranking from 34th in the early months of 2023 to 11th as of December.
Cardano: Chang Hardfork & Plutus V3 On the Way
However, Cardano has slid down from its top position in the recent GitHub development survey. Despite that, the network is gearing up for major overhauls such as the Chang Hardfork & Plutus V3 upgrades.
These upcoming upgrades are set to ramp up key features of the blockchain, notably smart contracts, interoperability, and governance. Input Output Global, the research wing of the blockchain, has funded an impressive 300 proposals, pushing the total number of supported ideas to new heights of over 1600.