Cardano whales have recently been active in the market, reportedly purchasing 160 million ADA during the price drop, according to recent news.
This acquisition brought their total holdings to 12.16 billion ADA within a week. Cardano's price accumulation occurred after it fell below $1, creating accumulation opportunities for large investors.
Latest data shows that whales holding between 10 million and 100 million ADA participated in this accumulation.
Their buying activity took place 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 consolidate their positions.
Cardano price rebounds amid volatility.
Cardano's price fluctuated as it attempted to break through the psychological barrier of $1. After dropping to $0.9100, the cryptocurrency quickly rebounded, trading at $1.0034 that day.
Bullish momentum remains strong, with ADA surging to $1.1819 before facing resistance.
However, the 4-hour MACD indicator presents bearish signals, suggesting that prices may decline further.
The MACD line (blue) remains below the signal line (orange), with the histogram bars pointing slightly negative, indicating ongoing selling pressure.
A reversal 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 strong buying pressure has not yet appeared, so bullish pressure is limited.
A breakout above 50 indicates further recovery, while a drop could push ADA below 30, indicating oversold conditions.
Cardano News: Large transactions fuel accumulation trends.
The increase in whale activity is synchronized with the rise 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 were mainly due to whales seizing the opportunity to acquire ADA at lower prices.
This accumulation pattern is not new to the Cardano ecosystem. Earlier this year, major stakeholders purchased ADA for $110 million, anticipating a price increase.
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 to acquire at lower prices for long-term gains.
Despite long-term optimism, pessimistic sentiment persists.
Despite the current bearish sentiment around 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.
Nevertheless, analysts remain optimistic about Cardano's future, with some expecting its price to 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 cap is $36.83 billion, with a trading volume of $1.61 billion in the past 24 hours, an increase of 3.46%.
ADA slightly dipped to $1.02, but due to increasing buying pressure, it has rebounded to $1.049.
The future of Cardano's price can be determined by the whales' current accumulation and their ability to push prices above resistance levels.