TL;DR
- ADA whales have been on a buying spree lately, signaling potential price surges in the short term.
- Rising network growth and a 7% increase in large transactions support ADA’s rally, with 66% of investors now in profit compared to 87.6% being in the red just months ago.
How High Can ADA Go?
Cardano’s ADA witnessed a whopping 180% price increase in the past month, briefly crossing $1 and currently hovering around it. According to some analysts and developments, the asset might pump much more impressively in the near future.
One factor suggesting such a move upwards is the whale activity. The popular X user Ali Martinez claimed that large investors had purchased over 130 million tokens (worth around $130 million) during the recent price dip.
The effort reduces the number of coins available on the open market, creating scarcity, and could drive the valuation higher (assuming demand stays the same or rises).
In addition, the whales’ actions might be interpreted as a sign of confidence by smaller players, prompting them to join the ecosystem.
X user Sssebi speculated that ADA might be “forming an inverse head and shoulder pattern,” which could be followed by a price increase above $1.05 as soon as this week.
Jake Gagain and Dan Gambardello were even more optimistic. The former promised to delete his X account if ADA does not cross $5 this bull cycle.
Gambardello described the current price tag of $1 as a “consolidation and redistribution” zone. “After this phase is over, Cardano can focus on $5 and $10,” he predicted.
Meanwhile, we recently released a video with some of the major developments surrounding Cardano. Check it out here:
Bullish Metrics
Some essential on-chain indicators also hint at an incoming rally. According to IntoTheBlock, the Net Network Growth (a momentum signal that “gives a pulse of the true growth of the token’s underlying network”) is up 0.33% on a daily scale.
Large transactions (the number of transactions exceeding $100,000) are on the rise, too, having jumped by almost 7% in the past 24 hours.
Meanwhile, ADA’s price resurgence as of late has benefited many of its investors. Around 66% of its holders are currently sitting at some paper profits, while only 27% remain underwater.
The picture looked much worse at the beginning of August this year when almost nobody holding ADA was profitable. At the same time, 87.6% were in the red.
The post Cardano Whales on the Move: Is the ADA Price Gearing up for a Further Rally? appeared first on CryptoPotato.
