Whales Gain ADA Positions Despite Weak Market
Date: 2025-05-01 Author: Oliver Abernathy Categories: CRYPTO PAYMENTS
Amid the overall improvement of the market situation, the ADA price has still not managed to break through the significant barrier of $0.74. However, the actions of large investors indicate high confidence in the asset and create the basis for a possible price breakout.
Strong whale activity in April
Investors controlling between 10 and 100 million ADA purchased more than 420 million tokens worth a total of about $289 million. As a result, their total reserves increased from 12.47 billion ADA to 12.89 billion ADA. Such buying demonstrates confidence in the long-term prospects of Cardano.
Such behavior of large players can affect the overall market sentiment, creating conditions for future growth. The presence of these investors has a significant impact on the price of ADA, especially during consolidation or possible trend reversals.
Strengthening technical indicators
The Relative Strength Index (RSI) recently reached its highest level in the last two months. It is currently above 50, which indicates that bullish sentiment prevails. Together with the whales' activity, this may mean that the market is preparing for growth.
If the current trend continues, ADA will be able to break out of the protracted resistance level at $0.74, which may open the way to the next target - $0.80. A successful breakout will serve as a signal of a change in the consolidation phase to a sustainable uptrend.
Key levels to watch
At the moment, ADA is trading just below the $0.70 mark, which previously acted as support. An unsuccessful attempt to break through $0.74 has left the price within a narrow trading range. However, under favorable conditions, an upward exit is possible.
If ADA fails to hold above $0.66, whale interest may wane. This will lead to a decline to $0.60 and may trigger a correction, delaying the recovery and preventing new highs.
Thus, despite the current weakness, the steady accumulation of ADA by major investors and technical signals leave Cardano with a chance for significant strengthening.
