Key Insights:
- Cardano sees rising whale accumulation, with 190M ADA acquired.
- ADA price could reach $1.52 and $1.86 in the next few weeks.
Cardano (ADA) is currently navigating a period of consolidation, caught between whale accumulation and retail hesitation.
Despite the broader market recovery, Cardano price was facing a tight consolidation and was pulling back, indicating indecision among market participants.
At press time, ADA price was trading at $0.7033, noting an intraday drop of over 2.13%. Its market cap stood at $24.76 Billion and the trading volume dropped over 26.30%.
How Whale Activity is Impacting Cardano’s Price
Cardano price movements exhibit uncertainty and displayed mixed performance on different timeframes. It has been hovering in a significant range and was attempting to chase the 200 day EMA for a swift recovery ahead.
Despite the broader market trend, ADA price remained in a narrow range and witnessed indecision among traders.
On-chain data showcased increased investor activity, as it attracts substantial capital inflows, particularly from large investors.
During the recent price decline, the whales accumulated 190 million ADA coins according to the data. Historical data suggests whale movements indicate prolonged market confidence which later results in price increase.
However, the current market momentum is weak and Cardano price action entering a holding pattern, testing the patience of traders on both sides.
Moreover, social sentiment surrounding Cardano displayed rising engagement within the investors. According to a report on March 19 by Santiment, a significant rise in positive trend has emerged which could boost the token’s performance ahead.
The recent classification of ADA’s use case by SEC as “smart contracts for government services” has generated positive sentiments among the cryptocurrency community.
Currently the positive-to-negative comments ratio stands at a new all-time high of 3.5:1 since early November.
Cardano Price Prediction: What are Analysts Saying?
A recent post by Rose Premium Signals on X revealed that Cardano is showing a bullish reversal after breaking out of a falling wedge pattern.
If ADA maintains its momentum, it could enter a strong uptrend cycle. However, retail participation plays a vital role for confirmation.
If ADA price holds above the support level of $0.7100, it could see a major rally toward $1.22 followed by $1.52 and $1.86 in the next few sessions.
Furthermore, Ali Charts said that a daily close above $1.15 mark will confirm this right-angled descending wedge, which could pave the way toward $2 mark.
The Stochastic RSI is neutral at 46, suggesting that a short term rebound might occur. Meanwhile, liquidation data from Coinglass shows that, long positions have liquidated massively compared to short positions.
In the past 24 hours, $1.73 Million worth of long positions have been liquidated compared to $573k worth of short positions.
This imbalance suggests bullish traders were uncomfortable holding long positions due to price consolidation or fear of missing out.
Despite the uncertainty among the market participants and the lack of a volume spurt, ADA price might continue to consolidate within the $0.7100-$0.7200 cluster.
Disclaimer
In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
Ivan Petrov is a seasoned journalist with deep insights into Russia’s dynamic crypto landscape. His work focuses on market dynamics and the transformative potential of blockchain technology, making him a go-to expert for understanding Russia’s digital financial innovations.