Cardano Price Prediction: ADA Breaks Key Downtrend as $0.40 Resistance and RSI Divergence Signal Potential Upside Towards $0.50–$0.60

After months of downside pressure, Cardano price is now trading at a level that could mark an important turning point. Momentum is beginning to improve beneath the surface, and participants are watching closely to see whether this move develops into a broader recovery or fades like previous rallies.

ADA Pushing for Bullish Divergence

According to Sssebi, Cardano price is flashing a clear bullish divergence, with RSI forming higher lows while price previously printed lower lows. His chart highlights this momentum shift developing beneath the surface, often a sign that selling pressure is fading even before price confirms a breakout.

ADA shows a bullish RSI divergence as price tests the $0.40 resistance, hinting at fading selling pressure and a possible momentum shift. Source: Sssebi via X

While ADA is still testing the $0.40 resistance zone, the bullish divergence suggests downside momentum has weakened materially. Historically, similar RSI structures in Cardano have preceded trend reversals.

Trendline Break Marks Structural Shift for Cardano

A more decisive technical signal comes from Jesse Peralta, who noted that Cardano price has broken its primary downtrend for the first time since October 2025. His chart illustrates a clear descending trendline that capped every major rally attempt throughout the correction, until now.

Cardano breaks its long-standing downtrend for the first time since October 2025, signaling a potential structural shift toward higher price targets. Source: Jesse Peralta via X

Peralta described the move as a “key breakout,” suggesting that Cardano could target the $0.50–$0.60 region if the breakout holds. From a structural standpoint, this marks a transition from persistent lower highs into a neutral-to-bullish framework.

Longer-Term Chart Patterns Hint at Larger Upside Potential

Zooming out, RoccobullboTom highlighted a much broader formation developing on higher timeframes. His chart shows ADA consolidating above long-term ascending support, with price compressing beneath descending resistance.

Cardano continues to build a higher-timeframe base above long-term support. Source: RoccobullboTom via X

While his projection suggests ADA could eventually move above $1 in a favorable market environment, it’s important to note that such outcomes depend heavily on confirmation, volume expansion, and broader market participation. Still, the presence of a higher-timeframe base strengthens the long-term Cardano price prediction narrative.

How High Can Cardano Price Go in 2026?

Looking into 2026, Cardano’s upside potential largely depends on whether the current breakout attempt evolves into a sustained trend rather than another short-lived rally. From a structural perspective, ADA reclaiming and holding above the $0.40–$0.42 zone would be the first confirmation that the broader downtrend has transitioned into a recovery phase.

Cardano price is trading around $0.40, up 2.35% in the last 24 hours. Source: Brave New Coin

In a base-case scenario, continued acceptance above $0.40 could allow Cardano to gradually work towards the $0.50 to $0.60 region. In a stronger bullish scenario, where momentum builds alongside improving volume and broader market participation, Cardano price could extend beyond the $0.60 region and challenge higher resistance bands over time. Projections towards $1.00 and $2.00 remain possible but would require sustained accumulation, expanding liquidity, and confirmation across multiple timeframes.

As long as ADA holds above its reclaimed structure and avoids falling back below key support levels, upside scenarios remain technically valid.

Final Thoughts

Cardano’s recent price action reflects a meaningful improvement in structure, with trendline breaks, RSI divergence, and sustained support defense all pointing towards a potential shift in momentum. While confirmation is still required, the technical backdrop is notably stronger than in previous failed rallies.

For now, Cardano price remains focused on the $0.40 resistance as the primary inflection point. Whether ADA transitions into a sustained uptrend or revisits consolidation will depend on how price behaves around this level.