Why is ADA not gaining in the face of a bullish market?
Whales sold more than 290 million ADA, worth $130 million, in one day in late May. Such a large sell-off caused ADA prices to consolidate.
However, this may change as the number of addresses trading has surged, which is a positive sign of increased demand and improved liquidity.
Cardano prices have fluctuated in a symmetrical triangle pattern over the past two months, a pattern that typically indicates a period of consolidation before prices break out in the direction of the existing trend.
ADA needs to first secure $0.46 as a support floor and may continue to move sideways. If it can hold the $0.46 support level, ADA could rise to $0.50 and above, effectively erasing all recent losses.
Despite recent weakness, Cardano's increased market participation has a positive impact on its future price action. If ADA can hold key support levels, prices are expected to rise.
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