Contents
Is $231 Million Exit a Bullish Sign?
Current Price Momentum
Cardano (ADA) Technical Analysis and Upcoming Level
Geopolitical Uncertainty
The recent election results have changed the overall market sentiment. Amidst this, Cardano (ADA) has seen a significant rally alongside other major cryptocurrencies and has attracted significant attention from crypto enthusiasts.
Meanwhile, the altcoin has gained more than 272% in bullish momentum over the past 30 days.
Is $231 Million Exit a Bullish Sign?
Despite the significant upward momentum, on-chain metrics hint that ADA could continue this rally in the coming days. According to on-chain analytics firm CoinGlass, ADA’s spot Inflow/Outflow data since November 23, 2024, shows that exchanges have seen a significant $231 million in outflows.
Source: Coinglass
Exit is a term that describes the amount of assets being moved out of exchanges. In the context of cryptocurrencies, exits often lead to price increases, reducing the likelihood of selling pressure and attracting investors and traders.
Current Price Momentum
Currently, ADA is trading near the $1.20 level and has seen a modest 2% price decline over the past 24 hours. However, during the Asian trading session, ADA reached a two-year high of $1.326.
Additionally, trading volume increased by 8.5% during the same period, indicating a modest increase in investor participation in light of ADA's bullish outlook.
Cardano (ADA) Technical Analysis and Upcoming Level
Despite these developments, experts suggest that ADA is currently facing strong resistance around the $1.25 level and appears to be struggling to break above it. Based on recent price action, if the altcoin breaks out and closes the daily candle above the $1.30 level, it could see a significant 32% upside momentum in the coming days.
Source: TradingView
Historically, when the ADA price reaches or breaks a resistance level, it tends to consolidate before a significant upward rally occurs on the chart. Currently, increasing whale interest and confidence in the token suggests potential signs of bullish momentum or a buying opportunity.
Geopolitical Uncertainty
However, today, December 3, 2024, the sentiment appears to be shifting downward as South Korean President Yoon Suk Yeol declared a state of emergency. This significant development has caused a significant sell-off in assets over the past few hours. If this decline is not contained, ADA’s bullish thesis could be at risk of failing.
