Grayscale’s Cardano Purchase Boosts Bullish ADA Price Prediction

Cardano could very well start seeing some demand that could add credence to bullish ADA price predictions as Grayscale has added the ADA token to its digital portfolio.

Grayscale announced Friday that it had added Cardano to its Digital Large Cap Fund, making the token the fund’s third-largest holding after Bitcoin and Ethereum. 

Cardano now forms 4.26% of the total portfolio of Grayscale after the asset management giant sold specific amounts of the existing components of this fund to finance the Cardano purchase. Cardano now trades 1.17% higher in its pairing with the greenback as of writing.

Technical Outlook for ADA/USD

The pair broke out of the descending channel, but the breakout move has lacked conviction and stalled at the 1.4029 resistance. Today’s upside move gives the pair a chance to test this resistance once more. If the breakout is good, the ADA/USD pair would have a chance at targeting 1.6010 (24 May and 14 June highs), with 1.8482 and 2.0017 forming additional upside targets.

On the other hand, another rejection at 1.4029 could trigger a more sustained pullback with targets 1.2493 initially, with 1.1674 and 1.0037 forming additional downside targets.

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ADA/USD Daily Chart

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