Cardano (ADA) is showing signs of resilience as large investors, commonly known as whales, have significantly increased their holdings. Their continued accumulation suggests confidence in ADA’s long-term potential, fueling speculation that the altcoin could soon break past key resistance levels and target $0.85.
Cardano Whales Double Down on Accumulation
In recent weeks, addresses holding between 100 million and 1 billion ADA have added over 240 million ADA, equivalent to more than $175 million. This notable increase in whale holdings indicates a strong belief in Cardano’s recovery potential. Such strategic accumulation often serves as a bullish indicator, signaling an impending price breakout as these investors typically buy during periods of market uncertainty and hold in anticipation of future gains.
Furthermore, Cardano’s Mean Coin Age (MCA)—a metric that tracks the average age of coins in circulation—has been steadily rising. This trend suggests that long-term holders (LTHs) are refraining from liquidating their positions, reinforcing market stability. The growing MCA signifies investor confidence and strengthens support levels, reducing the likelihood of sharp price declines.
ADA Price Faces Critical Resistance at $0.77
Despite a recent 6% price surge, ADA has struggled to breach the crucial $0.77 resistance level. Overcoming this barrier is essential for confirming an upward trajectory toward the anticipated $0.85 mark. If ADA successfully breaks this resistance, it could establish a strong recovery rally and attract further buying momentum.
However, failure to clear the $0.77 hurdle could lead to prolonged consolidation around the $0.70 support zone. A potential downside scenario could see ADA retesting the $0.62 level, extending the consolidation phase and delaying any significant upward movement.
Outlook: Can ADA Sustain Its Momentum?
The ongoing whale accumulation and increasing Mean Coin Age suggest that ADA’s long-term prospects remain strong. If market sentiment remains favorable and Cardano gains additional investor support, a breakout beyond $0.77 could set the stage for a rally toward $0.85.
Also Read: Cardano (ADA) Struggles Near $0.70 – Will Buyers Return or a Breakdown Follow?
As the cryptocurrency market navigates a volatile phase, ADA’s ability to maintain strong support levels and attract institutional interest will be crucial in determining its next major price movement. Traders and investors will closely watch whether the bullish momentum persists in the coming days.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
