Cardano breaks out on the way to $ 1 while exciting deadline is approaching

The course of Cardano (ADA) continued its recovery on Monday and reached the highest since the start of September with a rate of 0.90 dollars. Investors look ahead to the approaching deadline for the approval of a cardano-etf, which according to analysts can determine the next price movement.

Technical signals indicate a further increase

Cardano recorded a rate of 0.90 dollars, which amounts to an increase of 15 percent since the start of the month. This brings market capitalization above $ 31.7 billion. The daily trading volume increased to more than 1.7 billion dollars, a sign that interest in ADA is increasing.

According to technical analysis, a so-called ‘Falling Wedge’ pattern is visible on the daily graph. This pattern is characterized by two falling trend lines that move towards each other. Cardano recently broke out above the upper trend line, a signal that usually indicates further rise in price.

The target of this pattern points to a possible movement towards the psychological zone around 1 dollar, about 17 percent above the current level. It is important that this scenario expires if the course falls back under the support center around $ 0.80.

ETF-Deadline is the most important catalyst

The biggest motivation behind Cardano is the upcoming decision of the American Securities and Exchange Commission (SEC). On October 22, the term will expire for the assessment of the Grayscale ADA-ETF.

Data from forecast platform Polymarket show that the chance of approval is currently 87 percent. An approval would be a welcome development for the Cardano community, because the currency is then accessible to a much wider audience in one fell swoop (including institutional investors). Although the project has been around for years, the degree of actual application is yet disappointing.

Competitors under the Layer-1 networks such as Solana (SOL) have outsourced Cardano in recent years. The question is whether Cardano can turn the tide despite an ETF approval. At the time of writing, ADA acts at around $ 0.87, more than 70 percent below the all-time high of 3.10 dollars that was listed in 2021.