• ADA broke above $1 on Wednesday and claimed a daily high of $1.09.
• The altcoin has failed to break above the massive resistance of $1.10 on Thursday. 
• ADA witnessed a bullish divergence on the MACD indicator, suggesting a bullish reversal.

Cardano’s (ADA) price is edging closer to the key $1.10 resistance level, with traders anticipating potential movement within the next 24 hours. As of January 16, ADA has reached a daily high of $1.09 but currently trades at $1.06, reflecting a 3.60% increase over the past day, according to CoinMarketCap.

ADA’s performance mirrors the broader crypto market, which has seen renewed optimism following Bitcoin’s brief climb above $100,000. Despite this rally, ADA is still 65.96% below its all-time high of $3.10, leaving traders wondering if bullish momentum will propel the token past its resistance barrier on January 17.

Institutional Interest Remains Key to ADA Growth

Cardano has struggled to replicate the explosive growth seen by competitors like Solana (SOL). According to users on X (formerly Twitter), this could be attributed to a lack of institutional backing, which leaves Cardano heavily reliant on its community for development.

Related: Cardano’s DeFi Network Gets a Lift from BitcoinOS Integration

However, efforts are underway to attract institutional investors. Trakx, a fintech firm, recently launched the Cardano Crypto Tradable Index (CTI), bundling Cardano’s top projects into a single, tradable asset. Trakx states that the CTI aims to increase visibility and liquidity for Cardano’s ecosystem, making it more appealing to institutional players.

ADA Price Analysis for January 17

Technical indicators suggest that ADA’s trajectory could hinge on whether it breaks the $1.10 resistance level. On the daily chart, the MACD indicator confirms a bullish divergence, with the MACD line crossing above the signal line, signaling potential upward momentum.

Further, the Relative Strength Index (RSI) currently reads 56.40, indicating buyers have regained control. However, the RSI’s gradient suggests a possible retest of lower price levels before another attempt at breaching the resistance.