ADA is growing strongly, will it surpass the resistance level of $1.15?

While most top 10 cryptocurrencies are struggling due to short term corrections, Cardano (ADA) quietly maintains its position with a slight increase.

This altcoin has extended its bullish momentum after bouncing from the support area of $0.515 at the end of July.

The price of ADA could reach 1.15 dollars

Cardano has broken above the resistance level of $0.938 on the daily chart, which brings a more positive bullish structure compared to many coins in the same group.

The price increase seems to not be over yet, as liquidity clusters are concentrating near the psychological threshold of 1.15 dollars.

However, the risk of adjustment is still lurking, as profit-taking often occurs after strong rallies like this. Nevertheless, the futures contract data provides a potential cushion for ADA.

Source: TradingView## Record OI reinforces the bullish technical structure of ADA

Activities in the ADA futures market have also become prominent according to on-chain analysis.

The open contract (OI) of this altcoin has risen to a record level of $1.82 billion at the time of writing, indicating that traders are still placing their trust in Cardano despite the overall market weakness.

In addition, if this confidence is maintained, the increasing institutional capital flow could drive ADA towards the threshold of 1.15 dollars, where the liquidity cluster is concentrating.

Source: CoinGlass## Cardano still has warning signals

Not everything is "rosy".

At the time of writing, the Stochastic RSI indicator on the daily chart is in the overbought zone, indicating that the upward momentum is being stretched.

In fact, the Accumulated Volume Delta index (90 days) of CryptoQuant is still leaning towards a downward trend, reflecting that some investors continue to offload their positions.

Source: CryptoQuant## Where will Cardano go next?

The upcoming trading sessions will be crucial. A clear breakout above the $1.15 mark is likely to confirm the breakout of ADA and open up a new upward trend.

However, if it cannot absorb the selling pressure from large investors, this token may be dragged down by the overall market correction.

As of now, the positive technical structure along with the increasing institutional capital is converging the necessary factors for a strong price surge of ADA.

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