Can the whale accumulation of 70 million ADA push the price up to $0.9?

Cardano (ADA) has started to bounce back slowly after experiencing a bearish period, following the establishment of a local peak at $0.95 last week. Sentiment in the crypto market seems to be shifting, as this altcoin continues to trade near the $0.90 threshold.

The price movement of ADA is currently constrained within a larger pattern, with mixed signals related to liquidity, the accumulation of whales, and discrepancies in trading volume.

Whales intensify accumulation

In the past week, Cardano whales have increased their accumulation activity, buying over 70 million ADA. Their total holdings now stand at 5.53 billion ADA, still lower than the levels recorded in mid-August. According to analyst Ali, a lot of ADA was sold when the price was close to $1. However, since the price fell below $0.80, the whales have returned with a strong buying strategy.

This accumulation has kept the price of ADA within a range below $1, highlighting the current phase. However, as accumulation activity increases, the price is showing signs of bouncing back.

Cardano is being squeezed in a range

On the chart, the ADA price is currently trading at $0.86, up from $0.76. This altcoin has only recorded a 1% increase in the past 24 hours, but it seems to be spending more time in the range of $0.74 to $0.98. Since reaching $1.30 at the end of 2024, ADA has fluctuated between the levels of $0.57 and $1.14. The MACD indicator shows the strength of the bulls after breaking through.

Source: TradingViewChaikin Money Flow index (CMF) is currently stabilizing but starting from a negative level. If ADA breaks out of the recent range, the $1.14 level will become the next area to watch. Currently, it is still 34.60% lower than the previous annual high of $1.30, which creates a reasonable target for investors.

Liquidity and Trading Volume

According to data from CoinGlass, over $7 million ADA is being liquidated at $0.84. Many long orders have been set below the $0.85 level, with positions built at higher levels above $0.88.

Regarding on-chain trading volume, the futures trading volume bubble map shows that activity is cooling down, according to data from CryptoQuant. This indicates that the bears are losing strength after dominating since the price reached $0.95.

The CVD index shows that the ADA market has been predominantly dominated by the bearish side since July.

Source: CryptoQuantMeanwhile, Charles Hoskinson, the founder of Cardano and also a co-founder of Ethereum (ETH), shared his outlook on the crypto market. He believes that cryptocurrencies will become the foundation of the financial system in the future and emphasized:

"Cryptocurrency will dominate the world in the next 3-5 years."

Overall, the current structure of Cardano is fluctuating with alternating bullish signals, indicating a positive outlook in the near future.

Mr. Teacher