Key Takeaways
- Crypto whales purchased 20 million Cardano (ADA) tokens over the past 24 hours.
- Cardano’s price action suggests that ADA is on the verge of another 30% upside move.
- On-chain data shows that both short-term and long-term sentiment for ADA is bullish.
Amid a shift in market sentiment, Cardano whales have gone crazy for the native token ADA. A prominent crypto expert shared Santiment data revealing that whales holding 1 million to 10 million ADA purchased 20 million ADA tokens over the past 24 hours.
Impact of 20 ADA Accumulation on ADA Cardano (ADA)
The impact of this massive 20 million ADA accumulation has been evident on the asset’s price, as it jumped 7.25% over the past 24 hours. This marks the sixth consecutive day of gains.
Currently, the asset is trading near $0.945 with strong support from investors and traders. Data reveals that ADA’s trading volume during the same period has jumped by 65% compared to the previous day.
This notable surge in trading volume indicates that crypto participants are showing strong interest in ADA’s upside momentum. Essentially, it’s a bullish signal for token holders.
Cardano (ADA) Price Action and Technical Analysis
According to TimesCrypto analysis, ADA appears bullish as it has successfully retested its breakout area of $0.85 and is now poised for a significant price uptick. On the weekly chart, it is evident that after a 20% rally since the retest, the asset has reached a local resistance at $1.
Based on the current price action, if this upside momentum continues and ADA clears the $1 mark, there is a strong possibility that the asset could rally 30% and reach the $1.25 level in the near future.
On the daily chart, both the Supertrend and the Relative Strength Index (RSI) are flashing bullish signals, suggesting that a further upside rally may be on the horizon.
Currently, ADA’s Supertrend is in green and hovering below the asset price, indicating that the asset is in an uptrend with strong buying pressure. Meanwhile, the RSI has reached 65, signaling strong momentum, while still leaving enough room for the trend to continue until it enters overbought territory.
On-Chain Data Hint Bullish Signal For ADA
Coinglass, an on-chain analytics platform, reveals that traders have been closely following the current trend. According to the latest data, the Binance ADAUSDT Long/Short ratio has reached 2.65, indicating strong bullish sentiment among traders.
The metric further shows that long positions on Binance account for more than 72%, suggesting that retail traders are aligning with whale accumulation.
So far, investors and long-term holders have also been accumulating tokens. Data from spot inflow/outflow shows that over $1.62 million worth of ADA has left exchanges in the past 24 hours.
When combining these metrics, it appears that both long-term and short-term sentiment for ADA is bullish, with a strong possibility that the asset could continue its rally in the coming days.
