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Cardano (ADA) Flashes Bullish Setup on Lower Timeframe — More Gains Ahead?

Cardano (ADA) Flashes Bullish Setup on Lower Timeframe — More Gains Ahead?

CoinsProbeCoinsProbe2025/10/22 02:51
By:Nilesh Hembade

Date: Tue, Oct 21, 2025 | 06:35 PM GMT

The cryptocurrency market continues its choppy momentum as total 24-hour liquidations reached $556 million — with $264 million in long orders and $291 million in short orders getting wiped out, highlighting the ongoing two-sided volatility.

Amid the turbulence, several altcoins are showing resilience, and Cardano (ADA) is among them, trading slightly in the green. Its latest 4-hour chart is revealing a potentially bullish reversal pattern that could hint at a continuation of its recent upward move.

Cardano (ADA) Flashes Bullish Setup on Lower Timeframe — More Gains Ahead? image 0 Source: Coinmarketcap

Bump-and-Run Reversal (BARR) Pattern in Play

On the 4-hour timeframe, ADA’s price action appears to be forming a Bump-and-Run Reversal (BARR) pattern — a rare yet historically reliable setup that often marks a shift from bearish to bullish momentum.

The Lead-in Phase began when ADA faced consistent rejection from a descending trendline around the $0.82 zone, followed by a sharp drop that formed the Bump Phase bottom near $0.55.

From there, ADA staged a strong rebound, breaking above the descending trendline, signaling the beginning of a potential reversal. The price has since pulled back for a retest, a classic “throwback” move that often confirms the breakout’s validity.

Cardano (ADA) Flashes Bullish Setup on Lower Timeframe — More Gains Ahead? image 1 Cardano (ADA) 4H Chart/Coinsprobe (Source: Tradingview)

At press time, ADA trades around $0.6663, holding just below its 100-hour moving average (MA) at $0.7213. This MA now acts as a key decision point — a sustained move above it could confirm the start of the Uphill Run Phase in the BARR structure.

What’s Next for ADA?

If ADA successfully reclaims the 100-hour MA, the next major resistance sits around $0.9288, which aligns with the technical breakout target — a potential 38% upside from current levels.

However, if the price fails to close above the moving average, a short-term pullback or sideways consolidation may occur before any further attempt higher. Still, as long as ADA holds above the $0.62 support zone, the broader setup remains constructive and bullish.

With improving structure and growing volume near breakout zones, ADA might be quietly preparing for its next significant upside leg — but traders should keep a close eye on how it reacts around the $0.72 resistance in the coming sessions.

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