Cardano whales have recently been active in the market, reportedly purchasing 160 million ADA during the price drop.
This acquisition brought their total holdings to 12.16 billion ADA within a week. Accumulation occurred after Cardano's price fell below $1, creating accumulation opportunities for large investors.
Latest data shows that whales holding between 10 million to 100 million ADA participated in this accumulation.
Their buying activity occurred after a pullback in ADA's price, which fell to $0.9100 on December 9. The subsequent rebound and price stabilization allowed these holders to solidify their positions.
Cardano price rebounds amid fluctuations.
Cardano's price fluctuated while attempting to break through the psychological barrier of $1. After falling to $0.9100, the cryptocurrency quickly rebounded, trading at $1.0034 on that day.
Bullish momentum remains strong as ADA surges to $1.1819, then faces resistance.
However, the 4-hour MACD indicator shows a bearish signal, indicating that the price may decline further.
The MACD line (blue) remains below the signal line (orange), with histogram bars pointing slightly negative, indicating ongoing selling pressure.
The reversal that occurs may require a higher buying volume to cross the MACD line above the signal line to issue a bullish signal.
Additionally, the Relative Strength Index (RSI) also indicates weak momentum, currently at 45.33.
This level indicates a neutral to bearish sentiment, as it remains below the midpoint of 50. The RSI is slowly rising, but there has not yet been strong buying pressure, thus bullish pressure is limited.
A rise above 50 indicates further recovery, while a drop could take ADA below 30, indicating oversold conditions.
Cardano News: Large transactions fuel accumulation trends.
The increase in whale activity is synchronized with the increase in large transactions on the Cardano network.
According to Cardano news data, over 687 transactions involving amounts exceeding $1 million were processed during the recent price drop.
These transactions are mainly due to whales taking the opportunity to acquire ADA at lower prices.
This accumulation pattern is not new in the Cardano ecosystem. Earlier this year, major stakeholders purchased ADA for $110 million, expecting the price to rise.
Similarly, another accumulation phase occurred in November, with whales purchasing 130 million ADA during the market correction.
These Cardano news trends align with large investors seizing opportunities during price dips for long-term gains.
Despite long-term optimism, pessimism persists.
Despite the current bearish sentiment towards Cardano's price, the ecosystem still manages to attract investor interest.
Since December 18, the weighted sentiment score has been negative at -0.786, indicating that the market is currently in a slump.
Nonetheless, analysts remain optimistic about Cardano's future, with some predicting its price will rise to $10 next year.
As of the time of writing, the price of Cardano (ADA) is $1.05, down 4% in the past 24 hours. The current cryptocurrency market capitalization is $36.83 billion, with a trading volume of $1.61 billion in the past 24 hours, up 3.46%.
ADA slightly dipped to $1.02, but due to increasing buying pressure, it has risen again to $1.049.
The future of Cardano's price can be determined by the whales' current accumulation ability to push the price through resistance levels.