Cardano (ADA) Surges 12%... Aims for $0.24 After Partnering with Mastercard

▲ Cardano (ADA)/AI generated image ©

Cardano (ADA) surged over 12% in a single day, significantly outperforming the broader cryptocurrency market's strength, fueled by news of its collaboration with Mastercard. With expectations of expanding its utility into real-world payments, coupled with an altcoin rotation and a technical breakout, trading volume soared by 110%, and the market's attention is now focused on the $0.24 resistance level.

According to crypto market tracking site CoinMarketCap on September 19 (local time), Cardano traded at $0.227, up 12.22% over 24 hours. The key factor behind this surge was the announcement by Cardano developer Input Output Global (IOG) on September 18 of its participation in Mastercard's Crypto Partner Program. The collaboration targets cross-border payments and stablecoin interoperability, and following the news, ADA's 24-hour trading volume surged by 110%.

The movement of funds across the altcoin market also contributed to the upward trend. During the same period, Solana (SOL) rose by 11.02%, XRP (Ripple) by 8.03%, and the CoinMarketCap Altcoin Season Index increased by 4.44%. As the Bitcoin-centric rally spread to altcoins, which are relatively more volatile, Cardano's own positive news further amplified the gains.

A technical breakout also occurred. ADA surpassed the key 38.2% Fibonacci retracement level around $0.22872, and the 7-day Relative Strength Index (RSI) registered 67.85. This indicates strong upward momentum, but analysis suggests it has not yet reached severely overbought levels. In the short term, the sustained rise of 'Others' dominance, which represents altcoin market share, is also presented as an indicator to judge the continuity of fund rotation.

The next resistance level is the 23.6% Fibonacci zone at $0.23979, making a break above $0.24 effectively the first test for further upside. Below, the $0.219-$0.221 area, including the 50% Fibonacci zone at $0.21976, is considered a key support level. Maintaining this range opens up the possibility of retesting $0.24, but a daily close below $0.219 could signal that the short-term uptrend is exhausted, with a potential correction to $0.210 being discussed.

In the future, actual pilot projects and adoption metrics related to the Mastercard collaboration are expected to be variables for assessing long-term effects. Additionally, the U.S. Securities and Exchange Commission's (SEC) decision regarding a Cardano spot ETF has been presented as an external variable, with a key deadline of October 23. For now, with trading volume surging by 110%, whether the $0.219-$0.221 range is sustained is crucial for the durability of this breakout, and if buying pressure continues, $0.24 is mentioned as the next target.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*