Cardano, breaking through $0.25... whales accumulating, watch for subsequent rise

Cardano (ADA) broke through the key resistance level of $0.25, reverting to an upward trend. This is not just a simple technical rebound; on-chain indicators are also improving, and the market is paying attention to the possibility of a “further rebound.”

According to CoinTelegram on the 14th of this month (local time), against the backdrop of a general rebound in the cryptocurrency market, Cardano successfully broke the downtrend and turned bullish. The market noted that while the price held above the $0.25 support level, core holders continued to accumulate.

Analysts propose targets of $0.33 and $0.42

Market expert Ali Martinez predicted on X platform that Cardano might initiate a new bull run. He explained that, based on the super trend indicator, he accurately identified the continuation of a 73% plunge after a sell signal on September 25 of last year.

This indicator recently signaled a buy again on the daily chart. Martinez interpreted this as a sign that the local overheating phase has ended and a trend reversal has begun. He believes ADA could first rise to $0.33, and if momentum continues, $0.42 will be the next target. However, he added that if the $0.25 level is lost, the upward scenario might be delayed.

Whales and large holders are buying again

On-chain data also supports this outlook. According to Santiment, addresses holding over 1 million ADA have been steadily increasing their holdings since December 2023. Currently, these wallets hold over 25.09 billion coins, accounting for 67.47% of the circulating supply.

Despite Cardano’s market cap shrinking by 71% over the past nine months, so-called “whales” and large holders seem to view the lower prices as buying opportunities. Some believe that if this accumulation trend continues, ADA’s rebound could be even larger.

Ultimately, Cardano has entered a phase where both price charts and on-chain indicators are improving simultaneously. However, whether the bullish trend can fully unfold depends on whether the $0.25 support level can hold. Future trading volume and the movements of large holders will determine the subsequent trend direction.

Article summary by TokenPost.ai 🔎 Market interpretation Cardano (ADA) broke through the $0.25 resistance level, ending the short-term downtrend and entering a rebound phase. Technical indicators and on-chain data are both improving, boosting market participants’ confidence.

💡 Strategy points The $0.25 zone will serve as a key support level to determine the future trend. If maintained, there is potential for a rise to $0.33 and even $0.42. Conversely, if this zone is lost, the upward scenario may be delayed.

📘 Terminology explanations Super trend: a technical indicator used to determine the direction of price trends On-chain data: data analyzing actual fund flows and holdings on the blockchain Whale: an investor holding a large amount of cryptocurrency Resistance/support level: key price zones encountered during upward or downward movements

💡 Frequently Asked Questions (FAQ)

Q. Does ADA turning bullish mean a confirmed bullish signal? It’s still too early to confirm a definitive upward trend. Although technical indicators and on-chain data are improving, whether the $0.25 support can hold is a critical threshold. Only if this zone is maintained can the bullish trend be more likely to continue.
Q. Do whale accumulations really lead to price increases? Whale accumulation can be a positive signal that market confidence is maintained, but on its own, it does not guarantee a price rise. However, large capital inflows can indeed act as factors to push prices higher through liquidity and supply-demand dynamics.
Q. How should the targets of $0.33 and $0.42 be used? These price levels are recognized as major resistance zones in the market. Investors usually consider that selling pressure may increase around these levels and develop strategies accordingly. It’s more appropriate to see them as important checkpoints rather than definitive targets.

TP AI notes: This article uses a language model based on TokenPost.ai for summarization. The main content of the original text may have omissions or inaccuracies.