Cardano (ADA) and Kaspa (KAS) Rally: Comprehensive Price Examination

Recently, both Cardano (ADA) and Kaspa (KAS) have seen significant price increases in the ongoing cryptocurrency bull market. Despite this upward movement, they remain distant from their all-time high prices. Will they manage to reach these heights again, or will their prices continue to fall?

Will $ADA Break Through or Face Rejection?

Source: TradingView

$ADA is having an excellent Tuesday, with a 12% increase so far, giving an optimistic outlook for one of the most enthusiastic communities in the entire cryptocurrency realm. 

On the weekly chart, $ADA (ADA/USDT) is facing a significant horizontal resistance, which aligns with a 0.5 Fibonacci level. If the bulls succeed in pushing the price above this point and it holds, reaching the local high of $1.32 could be within reach.

However, this resistance is notably strong, and there's a good chance the price could be turned back here. Could this simply be a test to confirm this resistance level?

An advantage for the $ADA bulls is that the weekly Stochastic RSI is decreasing, potentially bottoming out in the coming weeks, which could signal a return of strong upward price momentum.

Is $ADA Facing Rejection Against $BTC?

Source: TradingView

The $ADA chart against $BTC (ADA/BTC) isn't looking particularly strong. After a steep 92% drop from its peak in 2021, the decline has only lessened to 86% today. The weekly chart highlights the major horizontal resistance levels, and the price is currently facing one. It is vital for the bulls to turn this resistance back into support. The lower level is a crucial support, and falling below it must be avoided. 

The Stochastic RSI is on a downward trend. This situation might lead to a rejection at the current horizontal resistance before it bottoms out and potentially drives the price upward again. Breaking the pattern of lower highs and lows is essential, and it needs to happen soon.

$KAS Exits a 15-Month Range

Source: TradingView

$KAS (KAS/USDT) followed a strong upward trend throughout 2023 into mid-2024, culminating in a $0.20 all-time high. The price was stable within a range from November 2023 until it recently dropped out.

This makes the current battle at the $0.10 horizontal level crucial. If the bulls succeed in pushing the price back into the range, this drop will be seen as a mere false breakout, allowing the price to climb back to the range's upper limit.

Conversely, if the price is turned away here, it could confirm the breakdown, leading to a rapid decline with little support available until around $0.05.

The weekly Stochastic RSI is on the rise and has crossed the 20.00 mark, indicating potential upward momentum. As long as these indicator lines continue to ascend, the bulls might hold the upper hand. All hope is not lost. 

Final Opportunity for $KAS Against $BTC

Source: TradingView

Examining $KAS against its $BTC pair on the daily chart (KAS/BTC), the outlook is not promising. A persistent downtrend since the end of 2023 remains unbroken. Even though the Stochastic RSI is climbing, failure to break and confirm above the overhead resistance could lead to a significant setback.

Why Choose $ADA or $KAS Over $BTC?

In conclusion, there might be short-term trading opportunities with these two cryptocurrencies. However, considering their long-term performance compared to $BTC, one might question: Why hold either of these instead of Bitcoin?

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.