The world of memecoins has been a rollercoaster ride for traders, with quick gains and effortless profits attracting many. However, the constant launch of new tokens often leads to rug pulls, as seen with recent examples like CAR and LIBRA. This has shaken the confidence of traders in these memecoins, causing them to shift their focus back to fundamentals.
One notable shift in sentiment is the renewed interest in tokens like Cardano (ADA) and Aave. Despite being considered dead tokens, they have been gaining massive attention from market participants. Let’s take a closer look at what to expect from these tokens in the near future.
Cardano (ADA) Price Analysis
After reaching highs above $1.2, Cardano has been trading within a bearish, descending parallel channel. The token has bounced back from the lower support of the channel and is now moving towards the average bands. A breakout above the range could push the price towards the resistance level above $1, with a potential bull run towards new highs if the channel is broken.
One bullish sign for Cardano is the rising RSI and bullish Ichimoku clouds. The conversion line and baseline are on the verge of a bullish crossover, indicating that the bulls are gaining control of the rally. If the price manages to hold above $0.86, it could surge past $0.9 and potentially reach new highs above $1.
Aave (AAVE) Price Analysis
Aave has seen a parabolic recovery after hitting lows from its all-time high above $660. The price attempted to break above $400 but faced bearish pressure, causing a dip. However, a strong rebound suggests a move towards the key resistance zone between $400 and $430.
On the weekly chart, Aave shows the first bullish crossover between the 50-day and 200-day MA levels. This has led to a rebound from the parabolic curve, indicating a potential push towards the resistance zone. The RSI, which previously dropped below support, is now gearing up for a surge. Once it breaks above the range, Aave could start a fresh rally and reach new highs above $700.
In conclusion, while memecoins may have their appeal, the focus on fundamentals and established tokens like Cardano and Aave is gaining traction among traders. With positive indicators and potential for growth, these tokens could be ones to watch in the coming days.