News 
January 31, 2025 
3 min. 
Cardano (ADA) could be on the verge of a significant breakout. According to one analyst, the cryptocurrency is forming a technical pattern that could lead to a price surge of up to 40%. After fluctuating between key support and resistance levels, ADA now sits at a critical juncture that may determine its next major trend.
Technical Analysis Points to Imminent Breakout
Analyst Ali Martinez highlighted on his X account (formerly Twitter) that ADA is currently forming a symmetrical triangle pattern—a setup known for signaling strong price movement once resistance is broken. If the cryptocurrency surpasses the $1.06 level, projections suggest a potential rally of up to 40%, pushing the price toward approximately $1.50.
Trading volume and institutional investor activity could also play a crucial role in confirming this trend. In recent days, ADA has seen increased liquidity, further reinforcing the possibility of an upward breakout.
Factors That Could Boost ADA
Beyond technical analysis, fundamental factors could also drive Cardano’s growth. Increasing blockchain adoption, advancements in smart contracts, and improvements in network scalability are among the key catalysts for ADA’s potential rise.
Recently, Cardano’s Total Value Locked (TVL) has been on the rise, reflecting greater investor participation in its ecosystem. This growing confidence in the project aligns with its continued expansion and development.
Risks and Considerations for Cardano Investors
Despite the bullish outlook, investors should remain aware of the risks. The cryptocurrency market is highly volatile, and technical patterns don’t always guarantee expected price movements. If Cardano fails to break resistance, a pullback to lower support levels, such as $0.85, is possible.
Another factor to watch is the activity of large cryptocurrency wallets. In recent days, whales have offloaded approximately 180 million ADA, which could impact short-term price action.
