Analyst Predicts $3.91 Cardano Target as ADA Approaches Multi-Year Breakout

• Christopher Visser identifies rare Cardano bullish setup with multiple MACD crossovers
• Bollinger Bands show volatility compression indicating potential sharp moves
• Four-year consolidation pattern suggests 350% upside to $3.91 target level

Analyst Christopher Visser has identified what he calls a critical breakout opportunity for Cardano, projecting ADA could reach $3.91 if current technical patterns hold.

The cryptocurrency trades at $0.8526 following a 9% daily gain and 18% weekly rally, positioning itself near key resistance levels that have contained price action since 2021.

Visser highlighted multiple technical indicators aligning to create favorable conditions for upward movement. His analysis focuses on MACD crossovers across different timeframes, with the two-hour already completed and four-hour and six-hour crossovers approaching similar convergence points.

Technical Convergence Mirrors Previous Rally Conditions

The analyst noted that ADA’s previous major rally occurred when daily, four-hour, and six-hour MACD crossovers happened simultaneously. Current setup conditions appear “almost identical” to that scenario, suggesting potential for similar price acceleration if patterns repeat.

Visser emphasized Bollinger Bands compression on six-hour charts, where bands tighten around the middle line near $0.7975 to $0.8051. This volatility squeeze creates conditions for explosive moves when price eventually breaks from the compressed range.

The analyst explained that such tight Bollinger Band compression occurs less frequently on higher timeframes, making current conditions more meaningful for directional moves. Historical instances of similar compression preceded sharp upward price movements in ADA.

Four-Year Consolidation Pattern Nears Resolution

Cardano has traded within a massive wedge formation for four years, bounded by descending resistance from 2021 highs and support around $0.23. This extended consolidation period has created two previous breakout attempts reaching $1.63 and $1.32 in 2022 and 2024 respectively.

Volume profile analysis shows heavy trading activity around $0.73-$0.74, establishing strong support levels below current prices. Above current levels, volume becomes thinner, indicating fewer historical trades and potentially reduced resistance during upward moves.

The consolidation pattern’s scale suggests potential for major price movement when resolution occurs. Visser’s $3.91 target represents over 350% gains from current levels, though he provided no specific timeline for achievement.

The projection aligns with other bullish Cardano forecasts, though previous predictions have failed to materialize on schedule. Dan Gambardello’s $3 target for January 25 based on historical Q4 2020 to Q1 2021 patterns did not occur as anticipated.