Cardano Eyes $1.25 as Technicals and On-Chain Data Align

Cardano (ADA) is showing a cluster of bullish signals across technical charts and on-chain data, raising the prospect of a rally toward $1.25 in the coming days or weeks.

Symmetrical Triangle Points to Breakout

On the daily chart, ADA has been consolidating within a symmetrical triangle. A close above the upper boundary at $0.925 would confirm bullish continuation, setting up a measured move to $1.25. Such a breakout would represent a 38% gain from current levels.

Momentum indicators are already tilting upward. The relative strength index has climbed steadily from 40 in early August to 55, underscoring a gradual build-up of buying pressure.

Cup-and-Handle Signals $1.20 Target

Lower-timeframe action also supports the bullish case. On the four-hour chart, ADA is forming a cup-and-handle structure with a neckline at $0.96. A confirmed breakout above this level would validate the pattern, opening the door to a target near $1.20—a move that would deliver roughly 32% upside from current prices. Analysts note that a decisive push above $0.94 is key to sustaining momentum.

Derivatives Market Shows Record Activity

Speculative activity in ADA derivatives is accelerating. Futures open interest climbed to an all-time high of $1.95 billion on Sunday, according to CoinGlass, marking a 22% increase in just under two weeks. Rising open interest often precedes sharp price swings, as seen earlier this year when ADA nearly doubled after a similar spike in positioning.

Traders are also linking the surge to ETF speculation. Polymarket data shows approval odds for a spot Cardano ETF jumping from 59% in early August to 90% by Friday, further fueling demand for leveraged exposure.

Looking Ahead: Breaking the $1 Barrier

While ADA’s immediate technical targets point to $1.20–$1.25, analysts argue that the real inflection point lies at the $1 psychological barrier. A sustained break above this level could open the way to higher targets, with some forecasts extending toward $2 once momentum fully accelerates.