ADA’s Short-Term Trend May Shift From Bearish to Bullish: Analyst

• Dan Gambardello revealed in his latest analysis that ADA has underperformed against BTC.
• Despite ADA’s lackluster performance in this bear market, the analyst maintains a bullish long-term outlook for the altcoin.
• The 20-day MA was on the verge of crossing bullishly above the 50-day MA on ADA’s chart at press time.

The crypto trader and analyst Dan Gambardello highlighted that Cardano (ADA) is currently underperforming against the market leader Bitcoin (BTC). In his analysis uploaded earlier today, the analyst revealed that ADA has been able to climb 40% since the SEC labeled it as a security at the start of June 2023. Meanwhile, BTC has risen around 90% during this period.

Gambardello assures that the underperformance of ADA during this bear market should not cause worry, as the altcoin similarly underperformed in the previous bear market but later emerged as one of the top performers during the subsequent bull cycle. As a result, the analyst anticipated that ADA may surpass numerous other cryptocurrencies in the upcoming bull cycle.

To support his bullish outlook, Gambardello added that on-chain metrics for Cardano, including the Total Value Locked (TVL) on the network, are bullish indicators for ADA. In addition to this, he noted the promising Decentralized Finance (DeFi) ecosystem of the project that has grown throughout this bear market.

From a technical perspective, the analyst mentioned that short-term time frames for ADA revealed that the altcoin was oversold. As a result, Gambardello predicted that ADA’s price may rebound into an upward move in the near future. Should this bullish thesis be validated, he believes ADA’s price could climb to between $0.35 and $0.36.

He also revealed that the 20-day MA line was attempting to cross above the 50-day MA line at the time the analysis was performed. Should the shorter technical indicator overcome the 50-day MA line, he predicts that ADA’s short-term trend will change from bearish to bullish. Consequently, this may result in ADA’s price climbing to the aforementioned $0.35 mark.

In related news, the price of ADA stood at $0.3178 at press time according to CoinMarketCap. This was after the cryptocurrency gained 2.88% over the past 24 hours. It also strengthened against BTC and Ethereum (ETH) by 2.97% and 2.82% respectively.

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