Cardano (ADA) Analysis: Can $1 Million Whale Transactions Spark a Price Rally?

Cardano (ADA) has seen a notable increase in whale transactions, with 687 transactions exceeding $1 million recorded in the last 24 hours. 

According to crypto analyst Ali (@ali_charts), whales purchased over 80 million ADA, valued at approximately $85.6 million.

Source: X

This surge in large transactions signals strong accumulation by major investors. Such activity aligns with consistent buying trends observed earlier this month, suggesting that whales remain confident in ADA’s long-term growth. 

Historically, sustained whale accumulation has often led to increased buying pressure, which can drive upward price movement.

Cardano’s Market Performance and Key Indicators

Cardano’s price traded at $1.07 at press time, with a 24-hour trading volume of $1.63 billion. While the price has declined 0.31% over the past 24 hours, it shows a 5.91% increase over the past week. With a circulating supply of 36 billion ADA, the token maintains a market cap of $38.47 billion.

On the technical front, the Bollinger Bands indicate price consolidation near the upper band, following a strong uptrend in November. The bands are contracting, suggesting reduced volatility and a period of stabilization. 

The MACD shows bearish momentum, as the MACD line has crossed below the signal line, with red histogram bars forming. This signals weakening upward momentum and a possible pullback to support near $1.00 if buyers do not step in.

Source: TradingView

The RSI reads 55.30, indicating a neutral market with no overbought or oversold conditions. Although upward momentum has slowed, the RSI remains above 50, which suggests that the current trend could continue if support holds.

Investor Sentiment and Whale Confidence

On-chain metrics point to strong investor confidence in Cardano. 66% of holders are currently in profit, while 71% of ADA holders have held their tokens for over a year. 

This long-term holding trend provides price stability and reflects trust in Cardano’s future development.

Source: IntoTheBlock

Transactions greater than $100K reached $23.76 billion over the past seven days, signaling ongoing interest from large investors. This level of activity suggests that institutional players and whales are actively accumulating ADA, strengthening its market position.

Cardano’s Future and Upcoming Milestones

Cardano founder Charles Hoskinson shared insights on the network’s upcoming milestones, highlighting plans to ratify the Cardano constitution and community budget. These developments will enable the community to take on governance, a key step toward decentralized decision-making.

Hoskinson emphasized, 

“We are at a very critical inflection point where that dream is almost a reality. It’s my life’s work to see Cardano grow to this point. In 2025, we will see it through.”

The recent whale activity and strong long-term holder composition reflect growing confidence in Cardano’s potential.

FAQs:

What caused the recent surge in Cardano whale transactions?

Large investors accumulated over 80 million ADA, worth $85.6 million, in 687 transactions.

What are the key technical indicators for Cardano (ADA)?

ADA consolidates near the upper Bollinger Band, with RSI at 55.30 and MACD showing weakening momentum.

How are Cardano whales impacting its price outlook?

Whale accumulation increases buying pressure, signaling potential upward price movement.