Cardano price surge fueled by whales

Hannah Bietz
Whale Surge
Whale Surge

Cardano (ADA) has seen a 6% price surge, capturing the attention of traders and social media. The rally is driven by increased whale transactions and growing open interest. The price currently hovers around $0.875, a key level for maintaining the bullish outlook.

However, an emerging triangle pattern could bring a shift in momentum. The nearest Fibonacci support is between $0.912 and $0.984. Dan Gambardello from Crypto Capital Venture emphasized ADA’s retail appeal, noting its substantial gains since 2019.

Pseudonymous trader Zen predicts a slow but steady growth for ADA, with a potential 175% rally post-breakout. Coinglass data reveals a significant spike in Cardano open interest, rising 14% to $1.3 billion in one day. Derivatives trading volume increased by 78.7%, reaching $2.8 billion.

Analyst Ali Martinez reported whales purchasing 100 million ADA in the last 48 hours. A notable fund has reintroduced ADA into its portfolio after dropping it in April 2024. As of Q4 2024, ADA makes up 1.4% of the fund’s composition, valued at over $11 million.

Whale activity drives Cardano growth

This re-entry aligns with ADA’s current price rally. Cardano’s recent performance demonstrates its resilience and potential in the cryptocurrency market.

With significant whale activity, institutional support, and optimistic predictions from analysts, ADA could be positioned for substantial future growth. However, technical analysis also indicates a possible 15% decline. A recent break below the Exponential Moving Averages (EMAs) on the 4-hour chart suggests potential further declines.

The closest support level is around $0.83, about 7% away from the current price. If this fails, an additional 8% drop could push the price to $0.76, representing a potential 15% drop by the end of the week. The bearish scenario could be invalidated if there is a strong upward bounce above $0.98, shifting the short-term outlook to a more bullish scenario.

In this case, Cardano could potentially rise above $1.02 and reach $1.2 to $1.3 in the coming days. Market analyst “CobraVanguard” opines that Cardano could rally to $1.5, citing two bullish patterns on the 4-hour chart: an ascending triangle and a cup-and-handle structure. Analyst Ali Martinez also predicted an ADA breakout to $1.5, citing an asymmetric triangle pattern and significant buying pressure from whales.

The market sentiment and price action in the coming days will be key in determining the future trajectory of Cardano. The looming inauguration of President-elect Donald Trump, who sounded bullish on crypto during his campaign, could be a potential catalyst for ADA bulls.

Hannah is a news contributor to SelfEmployed. She writes on current events, trending topics, and tips for our entrepreneurial audience.