Cardano Price Climbs as Whales Buy Over 200M ADA in 48 Hours

Whale Buying and Bullish Patterns Lift Cardano Price

On Monday, Cardano price continued to surge above the $0.82 mark with gains of more than 8.5% in the last seven days with large whale accumulation and high derivatives activity.

Whale Accumulation Boosts Cardano Price 

Santiment on-chain data indicated that wallets with 100 million to 1 billion Cardano had accumulated more than $200 million Cardano in the past 48 hours.

Source : X

This build was coupled with a gradual rise in Altcoin price, indicating a high level of interest among institutional or high-net-worth investors who are gearing up for any additional gains.

IntoTheBlock data showed that the number of Cruisers who have held Altcoin between one and twelve months increased by 6.77%, whereas the number of Traders who had a holding period of less than one month declined drastically by 16.36%.

Source : IntoTheBlock

Balance-by-holdings figures recorded a 593.91% increase in wallets containing between zero and 1 Altcoin and a 28.98% decrease in wallets containing more than 10 million ADA.

ADA balance by holdings : Source : IntoTheBlock

The redistribution pattern suggests that smaller retail investors have been increasingly involved, though some large holders seem to be cutting down their holdings and redistributing their assets in the market.

Amid these changes, long-term holders (those holding more than one year of ADA) have not shifted and this has strengthened the market and reassured confidence in the overall strength of the Cardano network.

Derivatives Data Signals Bullish Sentiment

Futures Open Interest on major exchanges rose to the highest since late July, rising to $1.41 billion on August 3, up from $1.20 billion.

ADA Open Interest : Source : Coinglass

Increasing Open Interest can be an indication of new capital in the market, and this can be the cause of prolonged moves.

Also, funding rates went positive, which means that longs are paying shorts, which is a characteristic of the trend before a strong upward movement.

Additionally, trader positioning data by Hyperliquid indicated that more than 75% of Altcoin futures positions were long, which highlights a bullish tilt of leveraged traders.

Technical Patterns Suggest Further Upside

Technical analysis showed that Cardano price broke out of a bullish flag on the 2-day chart and is trading above the broken resistance.

ADA 2-week price chart : Source : X

If momentum continues, analysts expect a potential jump to 1.60 in the medium term. 

A Fibonacci retracement on the weekly chart placed ADA at 0.50 on the price, at $0.80, in a similar pattern to the previous bull cycle in 2020, which led to a parabolic move.

According to Ali Martinez, chart comparisons indicated that Altcoin price could be on the initial stages of a multi-month rally.

Cardano weekly price chart : Source : X

The next levels of support are $0.78, then $0.76 and $0.755. A fall below 0.75 would see 0.73 come into action, and a break below 0.70 would probably take the momentum bearish.

On the positive side, staying above 0.80 leaves the route to 0.85-0.87 open in the short-term.

Analysts also suggest that the $2 mark is a long-term achievable goal, should the current interest continue and the macro conditions stay favourable.