Cardano Whales Go On Buying Spree As Price Attempts Breakout
Cardano (ADA) started the year by reclaiming key $1 support areas, which pushed its price to weekly highs. Bullish momentum has attracted whales, and some crypto analysts believe an ADA rally is imminent.
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Cardano whales fill their bags
November, Cardano soar It rose to the $1 mark for the first time in more than two years, leading the cryptocurrency market after a post-election rally. However, during the December correction, the cryptocurrency faced one of its largest single-day pullbacks, losing key support and falling below $0.8.
Cardano Whale took advantage of the year-end correction and acquired 160 million ADA at a discount. Despite the large number of investors betting on ADA, some market observers noted that market sentiment surrounding the cryptocurrency has turned bearish.
However, the ADA has experienced new year rallyIt is up 27% over the past week, driven by a market recovery and Bitcoin’s jump to the $100,000 mark. At the beginning of the new year, the price of Cardano surged from the $0.84 to $0.90 range and regained the $1 mark on January 3.
Since then, the cryptocurrency has been trading within a range of $1.05 to $1.11, returning to levels seen before the December correction.
Cryptocurrency Analyst Ari Martinez famous Cardano whales are loading again, carrying over 10 million ADA in the past 24 hours, which may indicate strong sentiment towards the cryptocurrency among large investors. Likewise, whales bought over 40 million ADA in 48 hours as the price of Cardano surged past $1.
ADA tries to break through
As Bitcoin (BTC) once again finds its footing above $100,000, the price of ADA attempts to break out of a short-term bullish pattern. According to Cardano trader Sebastian, the cryptocurrency is trying break in The bullish pennant was shed after hitting resistance at $1.15 on Tuesday morning.
In addition, Sebastian famous ADA is “attempting to convert a very important area of resistance on the ADA/BTC chart into a support area.” According to the chart, this level was a key resistance level that led to the early 2024 highs after turning into support. “A breakout from here could really push ADA into the bull market’s gates,” the investor noted.
Crypto Capital Venture founder and cryptocurrency analyst Dan Gambardello shares a bullish outlook for Cardano’s future price movement after Grayscale additional Its Digital Large Cap Fund (GDLC) cryptocurrencies.
as report NewsBTC stated that Grayscale liquidated all of GDLC’s ADA holdings in April, accounting for 1.62% of the fund’s portfolio. The move caused Cardano’s price to drop by 12% and it was heavily criticized for its “lack” of performance. After yesterday’s news broke, Gambardello claimed that “the ADA wave is coming.”
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Nonetheless, Cardano’s rally has been temporarily halted as BTC’s latest price drop dragged down ADA and the rest of the market. Bitcoin just dropped a massive 4% to the $97,000 support area, sending ADA down 8%.
The cryptocurrency fell from the $1.11 mark to $1.02 before recovering. Despite the decline, Cardano remains above key support areas and December correction levels, showing green numbers on most mid- to long-term time frames.
As of this writing, ADA is trading at $1.03, down 5.8% in the past 24 hours.
Featured image from Unsplash.com, chart from TradingView.com
