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Cardano: Alonzo upgrade heats up rally

  • The Cardano course takes a breather in the $ 2.16 range.
  • The Alonzo upgrade and NFT on the Cardano blockchain could serve as catalysts for further profits.
  • ADA must stay above $ 2.15 to have a chance of making a new all-time high above $ 2.46.

The Cardano course has shown an exceptional performance over the past three weeks. Its value has more than doubled. With this growth, it has managed to ignore all sell signals and grow exponentially to where it currently stands.

ADA is only a few percentage points away from a new all-time high.

Smart Contracts and NFTs

In a recent announcement on August 13th, Cardano’s Director of Delivery, Nigel Hemsley, said the Alonzo Mainnet hard fork would be ready on September 12th.

This upgrade will bring the smart contract functions to the Cardano blockchain. Although ADA is also known as the “Ethereum killer”, the network has so far lacked smart contract functionality, which was a major disadvantage.

However, during the most recent Cardano 360 episode, Hemsley stated:

As soon as we do a hard fork for the testnet, it gives us this period of stability in which we can test it and so do the exchanges … We will submit a proposal for a hard fork for the mainnet and you too with our Plutus -Patch application backend so we can have a full smart contract release ready for people to use, in time for the Alonzo hard fork on Monday September 12th.

This update is good news for users who have long been waiting with bated breath for the release of the smart contract capability on Cardano.

With the implementation of smart contracts and multi-asset functionalities, ADA is on the verge of expanding its already large ecosystem of users. Depending on how the mainnet hard fork goes, investors can expect developers to rally around this new functionality or to stay away from it.

Similarly, SXSW EDU is holding an educational conference to explore the possibilities and educate people about Non-Fungible Tokens (NFTs) on Cardano and other blockchains.

Cardano price with a chance of a new all-time high

Cardano price rose 121% between July 20 and August 15 and is currently hovering above a supply zone cap at $ 2.16. As part of this massive and exponential growth, ADA price rose 23% around the time Alonzo was announced.

This boost caused the so-called “Ethereum killer” to break through a supply zone stretching from $ 1.83 to $ 2.16. If ADA manages to bounce off $ 2.16 and stay above it, it will confirm a successful move into a demand zone. Such a move would encourage further gains and in some cases retest the all-time high at $ 2.46.

However, the ADA may not be able to sustain this uptrend and could see a slight correction. The Momentum Reversal Indicator (MRI) issued a warning signal on the 12-hour chart. Should ADA continue to recover, the index will trigger a sell signal.

Therefore, ADA investors should look for movement in either direction.


ADA / USDT 12-hour chart

With buying pressure outweighing bearish momentum, ADA should stay above $ 2.16 and make a run to the all-time high of $ 2.46. If the buy orders continue to come in, the Cardano price could hit a new all-time high of $ 2.87, which coincides with the 127.2% fibonacci retracement level.

On the other hand, failing above $ 2.16 could result in an 8% retracement to $ 1.97 and in some cases to $ 1.82.

However, a break of the $ 1.82 support level would invalidate the upside hypothesis and possibly indicate a trend reversal.

Hasan Sheikh
Hasan, who loves technology and games, is studying Computer Engineering at Delhi JNU. He has been writing technology news since 2016.


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