Cardano price has been rallying for the past month. The altcoin has been hovering records high for five consecutive days. However, it was in the red earlier on Tuesday. At the time of writing, it had declined 1.52% to $2.8710.
Cardano ranks as the third largest cryptocurrency in the world, after Ethereum. Its total market capitalization currently stands at $93.5 billion. According to Coinmarketcap, the coin’s total volume traded has jumped to an all-time high in the last 24 hours. Its total volume traded was up more than 10% to $8.22 billion. Notably, its volume was below $2 billion at the beginning of this month.
The Cardano price has been on an up run since its creator, Charles Hoskinson, announced the new major Alonzo upgrade on ADA’s blockchain. According to Hoskinson, the upgrade is scheduled for launch in September.
The Alonzo upgrade will introduce smart contracts to the blockchain. The smart contracts will allow Cardano to deploy its smart contracts and give way to its decentralized applications (dApps). ADA bulls expect a jump in the token’s adoption once the key upgrade is launched, which in turn will boost its price.
Some analysts have also linked the surge in the ADA price to the listing of the digital asset to Japan’s exchange. Japan is believed to have one of the harshest criteria for enrollment in the market.
As such, investors are optimistic about the coin’s performance in the next few weeks.
ADA’s Technical Outlook
The Cardano price has been on a bullish trajectory for the past two months. The coin has jumped more than 120% since the start of August. The triple bottom formed along the way boosted the ADA price further.
On the daily chart, it is trading above the 50 and 200-day moving averages. It is also above the 50-day exponential moving average, hinting at a stronger outcome.
Therefore, the altcoin could face a minor retracement before rallying further. The bulls will be eyeing the resistance at the $3.500 level in the next few weeks.