Cardano (ADA) Price Pushes $0.40 Again After Recent Rejection, Have the Whales Come to Stay? 

Cardano has hovered around $0.40 for the past week after a brief break above the milestone on March 31. A deep dive into the on-chain data shows that crypto whales remain interested in ADA. How will the Cardano price react?

On Jan 31, Cardano (ADA) announced the launch of its own native Djed stablecoin. A few days after the launch, the native utility coin, ADA, witnessed a sudden spike in the volume of whale transactions.

This development was received with mixed reactions across the crypto community. Bearish investors expected the whale activity to dwindle after the initial few weeks. But now, 3 months on, whale activity has remained steady at high volumes. Will this translate into long-term price gains?

Cardano Whales Have Come to Stay

Cardano whales have maintained intense activity for three consecutive months, according to Santiment.

As the chart below shows, the last time the Cardano whale transaction count slipped below 1,000 was on Feb. 15. Since then, the number of daily transactions exceeding $100,000 has consistently remained above 1,600.

Notably, it has recently surged from 1,654 on March 5, to 2,007 whale transactions recorded as on April 4.

Cardano (ADA) Whale Transaction count, April 2023. Source: Santiment

When whale transactions remain persistently high on a network, it is a bullish signal. It indicates increased utility for large-scale transactions. This could boost investor confidence in the network’s growth potential.

Furthermore, the increase in the balances of an influential Cardano whale cohort suggests that the heightened whale transaction count is bullish.

According to santiment, the crypto whales holding between 1 milliion to 10 million ADA are currently in accumulation mode. The red line in the chart below shows how they have added 150 million coins to their balances.

Cardano (ADA) Whales Accumulation. April 2023. Source: Santiment

The accumulated coins are worth approximately $60 million at the current Cardano price. This could add momentum to a potential ADA price rally. Historically, the buy/sell pattern of the above whale cohort has been highly correlated to ADA price action.

Hence, if Cardano can maintain the intense whale activity and whales keep buying, ADA holders can expect more gains.

Cardano (ADA) Price Prediction: $0.45 Beckons

Bullish insights provided by IntoTheBlock’s Global In/Out of Money chart shows that Cardano could soon claim $0.45.

The chart below shows that ADA will face light resistance at $0.40. At this zone, a cluster of 263,000 addresses holding 4.67 billion coins may decide to book some profit. A rally toward $0.44 is likely if ADA breaks above that zone. However, a considerable resistance of 382,000 addresses holding 2.63 billion coins could mount a roadblock.

Cardano (ADA) Global In/Out of Money chart, April 2023. Source: IntoTheBlock

Yet, the bears invalidate the bullish outlook if ADA fails to hold its current support at $0.38. Although, the bulls can count on the support of the 263,000 addresses that bought 5.76 billion coins around the current Cardano price.

But if that support line fails to hold, then ADA may retest $0.35, which happens to be the minimum ADA price paid by 266,000 addresses for 5.56 billion coins.

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