Cardano rose 4 percent on July 1 to regain the $0.150 level. After a sharp June drop, it rebounded from a key support line and has recently shown stronger momentum than bitcoin, an analysis said, with ADA/BTC attempting a short-term breakout.

According to blockchain outlet The Crypto Basic, the rebound came after Cardano fell 38 percent over June. Cardano moved higher after trading sideways for several days near a key support level around $0.140. Its dollar price recovered and its performance against bitcoin also improved. The market is watching whether the move can become a starting point for another upward attempt rather than a simple technical rebound.

The ADA/BTC move stands out in particular. Over the past few days, bitcoin has been falling while Cardano has been relatively strong. ADA/BTC has risen for three consecutive sessions. It gained 0.41 percent on Monday, then rose 1.65 percent on Tuesday and added 3.66 percent on July 1.

In the crypto market, bitcoin’s direction typically influences investor sentiment across altcoins. When bitcoin falls, major altcoins often weaken as well. Against that backdrop, Cardano’s strength versus bitcoin could be interpreted as a signal that independent buying interest is flowing in.

Still, a short-term resistance zone is clear. ADA/BTC is currently around $0.00000255, where it is touching the 20-day exponential moving average. That area aligns with a move in which the price was rejected once near $0.00000325 in early June and then slid again. The market is therefore treating whether ADA/BTC settles above the 20-day line or gets pushed back as the next directional turning point.

If it stays above the 20-day line, a short-term breakout signal could strengthen. If it turns down again at this level, it could form another lower high and resume a downtrend. Above that, the 50-day, 100-day and 200-day exponential moving averages sit at $0.00000279, $0.00000310 and $0.00000369, respectively, and are expected to become the next resistance levels if the uptrend continues.

Supply-and-demand indicators also improved along with the rebound. After regaining $0.150, 24-hour trading volume rose 60 percent to $471.3 million. That suggests market participation is increasing as well. Open interest climbed 1.43 percent to $371.0 million. The increase was not large, suggesting the rise is closer to bargain buying in the spot market than a derivatives-led move.

CoinGlass data also showed spot flows favored net outflows. Over the past 24 hours, Cardano outflows from exchanges totaled $29.13 million, exceeding inflows of $28.55 million. That means more supply moved off exchanges than moved in.

Cardano’s key short-term watch point is whether its strength versus bitcoin can continue. If spot buying and net outflows from exchanges persist, relative strength could continue, but ADA/BTC will first need to be seen settling above its 20-day exponential moving average.