After a long period in bear territory, Cardano (ADA) has seen the bulls reclaim control, a positive development for the crypto asset, which remains one of the most popular cryptocurrencies and networks. Nevertheless, after adequately cementing its position in this bullish level for the short term, the question of how the digital asset views the long term remains.

Cardano (ADA) has successfully broken above $1.2, putting it on a bullish path in the short term. The crypto asset is now trading above the 30, and 50-day moving averages. This is a critical point for the asset if it is to continue on its current bullish path. As a result, investor sentiment has begun to improve for the first time in months.

Since the downtrend began, Cardano investors have seen a significant reduction in sell pressure for the first time. Although most indicators continue to point to a sell, the gap has shrunk significantly. This means that buyers are starting to outnumber sellers in terms of volume. Therefore, ADA’s recovery is expected to continue as more investors buy if this trend continues.

However, this is only visible in the short term for the digital asset. It is unsustainable given that the recovery is still in its early stages. ADA/USD appears to be the strongest on a two-week scale, with less than a week on the current trend.

Cardano (ADA) is not faring as well in the long run. This can be attributed to the fact that, as previously stated, the rally is still in its early stages, but also to the fact that the digital asset has been in a downtrend for the longest time. The performance of the cryptocurrency on the 100 and 200-day moving averages demonstrates this.

Despite the recent surge, ADA has yet to trade above these levels. As a result, it will need to successfully break above $1.5 to turn bullish in the long run, and the indicators are not pointing in that direction yet.

ADA is currently trading at $1.22. It has been steadily rising since the early hours of Thursday. The next significant resistance level is at $1.273. It’s a long way from $1.5, but it’s an attainable goal if the momentum continues to build. On the bearish side, a breakout of $1.150 has the potential to drive downtrend until $1.070 and $1.010.