Cardano Whales Accumulate 130M ADA: Is a Break Above $1 Imminent?

• Cardano’s recent surge, fueled by whale accumulation, highlights the growing confidence in the cryptocurrency’s trajectory as it approaches crucial resistance levels.

• The buying spree of 130 million ADA at a recent dip signifies not just resilience but also a strategic plan to bolster market stability amid fluctuations.

• “Whale accumulation during downturns is often a precursor to significant price recoveries,” commented a spokesperson from COINOTAG.

Cardano whales have acquired 130 million ADA during a price dip, pushing the cryptocurrency near $0.99. Will the resistance at $1 hold?

Whale Accumulation and Key Price Levels

According to crypto market analysts, the recent accumulation of over 130 million ADA by whales during the recent dip highlights a strong belief in the coin’s long-term viability. As ADA neared the $0.30 mark, this level became critical support and has now led to an impressive recovery. 

Whale activity is often a bellwether for retail traders, indicating a bullish sentiment that can drive further investment. This tendency to absorb significant quantities of ADA during price corrections has historically resulted in upward momentum, bolstering investor confidence.

Source: X

With the ADA price stabilizing above $0.35, analysts observe resistance near the $0.36–$0.38 range, suggesting that overcoming this barrier may pave the way toward the crucial $1.00 milestone.

Current Market Performance and Trends

As of now, ADA trades at approximately $0.9898, marking a notable 6.19% increase within the past 24 hours, with an impressive 18.47% rise over the last week. The token’s 24-hour trading volume is reported at $3.11 billion, reflecting robust market interest and confidence among traders.

The seven-day trading range for ADA has fluctuated between $0.773 and $1.12, indicating a growing demand reinforced by favorable technical signals suggesting a bullish trend.

Technical Indicators Signal Bullish Momentum

On the daily chart, ADA remains robust above the 20-day Simple Moving Average (SMA) at approximately $0.756, which serves as a dynamic support threshold. This technical positioning is complemented by expanding Bollinger Bands, indicating heightened volatility as the asset nears key resistance levels. 

Additionally, the Relative Strength Index (RSI) currently rests at 74.66, suggesting that while ADA is in the overbought zone—which may lead to short-term corrections—this also indicates sustained bullish momentum. 

Source: TradingView

The bullish indicators are further supported by the MACD, which has demonstrated a crossover, with the MACD line positioned above the signal line, coupled with a positive histogram confirming upward market momentum.

On-chain Metrics Reflect Market Confidence

Recent data from Coinglass indicates that on November 27, 2024, ADA saw a net outflow of approximately $2.82 million, as the volumes of ADA leaving exchanges outweighed those entering. This migration suggests a lean towards accumulation as investors favor holding ADA in private wallets, thereby reducing selling pressure.

Source: Coinglass

Insights from IntoTheBlock reveal that 70% of ADA holders are currently in profit, while only 29% are facing losses. An encouraging 71% of holders reportedly have maintained their ADA for over a year, indicating strong long-term holding sentiment.

Source: IntoTheBlock

With a correlation of 0.94 to Bitcoin, ADA’s price movements closely track broader market dynamics, further intensifying investor interest in potential upward momentum.

Conclusion

The recent activities surrounding Cardano’s price illustrate a rejuvenation of investor confidence catalyzed by whale accumulation at strategic support levels. As ADA approaches pivotal resistance near $1.00, monitoring market trends and investor sentiment will be crucial for understanding the cryptocurrency’s next moves. The current data suggests that Cardano remains a closely watched asset poised for potential growth.