Cardano Whales Accumulate ADA as Short-Term Rally Remains Uncertain

• Whale wallets holding 100k+ ADA tokens have risen steadily, indicating accumulation.

• Cardano’s price recently bounced 11.4% to $0.694 but retraced 4% due to Bitcoin’s resistance.

• Open Interest and spot CVD show weak short-term demand, with funding rates remaining positive but declining.

Discover Cardano whale accumulation trends and ADA price insights for 2025. Analyze supply zones and market signals to stay ahead in crypto investments—explore now for expert analysis.

What is Cardano whale accumulation and why does it matter?

Cardano whale accumulation refers to large investors, known as whales, steadily increasing their holdings of ADA tokens over time, as evidenced by rising supply shares in wallets with 100k or more tokens. This activity has persisted for the past six weeks, contrasting with short-term market volatility. It signals long-term confidence in Cardano’s blockchain fundamentals, potentially stabilizing the price during downturns and paving the way for upward momentum if broader market conditions improve.

How does recent Cardano price action reflect whale activity?

Cardano’s ADA token traded above the $0.61 support level before an 11.4% bounce over four days, reaching $0.694, only to retrace 4% in the last 24 hours due to Bitcoin’s hesitation at $116k resistance. Data from Santiment shows a drop in Open Interest and minimal spot CVD growth, indicating speculators’ reluctance amid weak demand. Funding rates, while positive, have declined, underscoring short-term ambivalence. In contrast, larger wallets continue accumulating, with the share of ADA in 100k+ token addresses rising steadily over six weeks, per Santiment metrics. This divergence highlights whales’ focus on long-term potential despite immediate pressures. Expert analysis from on-chain observers notes that such accumulation often precedes rallies, though current technicals suggest caution.

Cardano [ADA] was once trading just above the local support at $0.61. Later, it saw an 11.4% bounce in four days to climb to $0.694. However, in the last 24 hours, it retraced by 4% on the charts.

Bitcoin’s [BTC] indecisiveness at the $116k mid-range resistance forced a price dip across the market.

Source: Coinalyze

Cardano also saw a drop in Open Interest in the last 24 hours, and its spot CVD barely climbed higher. Together, they suggested that speculators have been unwilling to continue betting on ADA in the short-term, on the back of weak spot demand for the altcoin.

The funding rate also fell over the past 24 hours, although the rates remained positive at press time.

Source: Santiment

In contrast to the short-term ambivalence, the bigger Cardano wallets have continued to accumulate ADA lately. Evidence for this was the rising share of the ADA supply that was made up of wallets with 100k or more ADA tokens.

Hence, the question – Will this whale accumulation inspire a price rally?

Examining the supply zones above Cardano

Source: ADA/USDT on TradingView

The 1-day timeframe highlighted a bearish 1-day timeframe structure (yellow) within the larger bullish context (white, 1-week timeframe). In other words, the $0.61 support is critical for recovery. So far, it has been defended.

There seemed to be a supply zone (red box) from $0.7-$0.737. This resistance must be flipped to support to initiate a recovery. Until then, swing traders can remain bearishly biased.

The Money Flow Index has remained weakly bearish too. In fact, it signaled that ADA had neither the momentum nor the buying pressure to spark a move upwards.

Source: CoinGlass

Finally, the liquidation heatmap showed that a move higher to the $0.745-level was likely in the coming days. The magnetic zone overhead was stronger than the $0.64 or $0.58 zones, though slightly farther away due to the last 24 hours’ price action.

Technical analysis highlighted the supply at $0.74, and the liquidation heatmap agreed that it may be a notable liquidity cluster. Therefore, even if Cardano bounces to $0.75 in the coming days, traders should be wary of a bearish reversal.

Broader market dynamics, including Bitcoin’s performance, continue to influence Cardano’s trajectory. As BTC tests key resistance levels, altcoins like ADA often follow suit. On-chain data from sources such as Santiment and Coinalyze provide valuable insights into holder behavior, reinforcing the importance of monitoring whale movements. While short-term indicators point to caution, the ongoing Cardano whale accumulation could provide a foundation for sustained growth if network developments, like upgrades to scalability, continue apace.

Frequently Asked Questions

Is Cardano whale accumulation a sign of upcoming ADA price rally?

Cardano whale accumulation, with 100k+ token wallets increasing their ADA holdings over six weeks, indicates long-term confidence but does not guarantee an immediate rally. Short-term factors like Bitcoin’s resistance and declining Open Interest suggest limited upside potential in the near term, according to on-chain data from Santiment.

What are the key supply zones affecting Cardano’s price right now?

The primary supply zone for Cardano sits between $0.70 and $0.737, acting as resistance on the daily chart, while $0.61 provides crucial support. Flipping this supply to support could signal recovery, but current Money Flow Index readings show weak buying pressure, per TradingView analysis.

Key Takeaways

• Whale Accumulation Persists: Large ADA holders have boosted their supply share for six weeks, signaling long-term optimism amid volatility.
• Short-Term Caution Advised: Price retracement and falling Open Interest indicate weak speculator interest, influenced by Bitcoin’s indecisiveness.
• Monitor Key Levels: Defend $0.61 support and watch $0.70-$0.737 resistance for potential shifts in market bias.

Conclusion

In summary, Cardano whale accumulation underscores enduring investor faith in ADA’s ecosystem, even as short-term Cardano price prediction elements like supply zones and liquidation heatmaps point to near-term hurdles. With support at $0.61 holding firm and larger holders building positions, the altcoin remains positioned for potential recovery. Stay informed on on-chain metrics and market trends to navigate these dynamics effectively—consider diversifying holdings based on evolving signals.