Cardano (ADA) has been drawing attention with its increasing whale activity recently. The DeFi-focused cryptocurrency has managed to keep its price above $1, and the fact that whales bought 100 million ADA in a short time stands out as an important factor supporting this rise. $ADA
In the last 24 hours, wallets holding 1 million to 10 million ADA have made large purchases. According to Kriptokoin.com, such whale purchases are generally considered to be the forerunner of price increases. On-chain analyst Ali Martinez also highlighted these purchases and commented:
"In the past, these types of big purchases have always supported price increases."
ADA is currently trying to stabilize at $1.22. Whale activity during this period is a positive signal for the market. If the capital flow continues in this way, ADA's next target will be the $1.50 resistance level. According to experts, the critical resistance level of $1.23 must be overcome to reach this target. ADA is expected to continue its upward trend by passing this level.
ADA’s technical charts show a classic “ascending triangle” formation. This formation usually indicates that the price will continue its upward movement. However, according to analyst Martinez, there is also a possibility that the rise could reverse. The veteran analyst warned about this:
"ADA is forming a falling wedge pattern. This pattern could herald a sharp decline towards $0.88."
The overall market sentiment for Cardano is also positive. Speculations about Donald Trump’s re-election and Paul Atkins’ appointment as SEC Chairman have created an optimistic atmosphere in the markets. Additionally, Cardano’s layer-2 scaling solution called Hydra has surpassed major payment systems like Visa by processing 2 billion transactions in a short time.
The price of ADA is currently showing short-term fluctuations and is trading at $1.20. The altcoin is up 21 percent on a weekly basis. The Fear and Greed Index has reached 84, which is at the “Extreme Greed” level. This indicates that market sentiment is quite high. Looking at technical indicators, ADA is seen to be well above its 50-day and 200-day moving averages. However, the 14-day RSI indicator is at 78.52, which means ADA is in the overbought territory. This indicates a potential correction risk. Traders should be careful with this situation.