Cardano (ADA) has witnessed a significant 3.4% price increase in the past 24 hours, marking a notable rally in its value. This uptrend comes amidst a broader recovery in the cryptocurrency market, with both Bitcoin and Ethereum also showing slight gains of 2.5% and 2.2%, respectively.
Technical analysis on TradingView suggests that Cardano might be on the brink of a bullish reversal. The cryptocurrency has displayed a shift in market character by breaking above the resistance of a wedge pattern, indicating a potential move towards a more bullish trend. This positive price action has been bolstered by substantial accumulation by whales, or investors holding large quantities of ADA.
Data from the market intelligence platform IntoTheBlock reveals that Cardano whales, defined as those holding between 100 million and 1 billion ADA, have increased their holdings by 11% over the past 30 days, constituting 6.71% of the total Cardano supply. This whale accumulation is viewed as a bullish signal, reflecting the large investors’ anticipation of a potential price surge.
While strong buy support exists for Cardano at around $0.36, which could prevent a significant correction, the cryptocurrency faces substantial resistance at the $0.50 mark. According to technical analysis, Cardano must breach the $0.51 level on the weekly chart to confirm a bullish continuation.
As of the latest data, Cardano is priced at $0.3571, with a 24-hour trading volume of $370.8 million. Its market capitalization stands at $12.6 billion, representing 0.61% of the total cryptocurrency market cap, positioning ADA as the 11th largest cryptocurrency by market capitalization.
Over the past year, Cardano’s price has shown a positive trend with a 23.6% increase. However, ADA has lagged behind 58% of the top 100 crypto assets and major cryptocurrencies like Bitcoin and Ethereum. Despite hitting an all-time high of $3.09 on September 2, 2021, Cardano’s lowest price of $0.01925 was recorded on March 13, 2020.
The current market sentiment around Cardano remains neutral, as indicated by the Fear & Greed Index at 50. Nonetheless, the future market outlook for Cardano appears optimistic. Analysts, including Javon Marks, have forecasted potential short-term gains of 462% and a long-term surge of 1500% to $7.80 based on historical breakout patterns.