Cardano Hits Multi-Year High: Whale Accumulation and Institutions Fuel ADA Surge

• Cardano’s (ADA) explosive run by 90% appears to be its highest since May 2022; meanwhile, an analyst expects a pullback in the short term. 
• Another analyst has predicted that ADA could rise to $15 if the bullish momentum continues. 

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Cardano’s (ADA) impressive response to the recent broad market rally has extended its gains in the past few weeks to 90%. Fascinatingly, this is the highest it has ever reached since May 2022. In the past 24 hours alone, ADA has surged by 12% on its weekly chart, bringing its month-to-date gain to 145% and trading price to $0.9 at press time. Adding to this, the asset has made a dramatic comeback to the list of the top ten largest-cap cryptos with a market valuation of $31.6 billion.

Delving into this, we discovered that the ADA’s sudden bullish reversal is supported by the aggressive accumulation of whales (addresses that hold at least $10 million in ADA). Also, data from Tagus Capital estimates that the whales possess about $12 billion worth of ADA. Fascinatingly, this aligns with data that discloses that 8.7% of the total Cardano addresses (4.41 million addresses) belong to whales.

Another data confirms the growing trend of institutional demand as large transactions involving the asset have increased by 30% in the last two weeks. According to experts, the surge of ADA could also be attributed to the insatiable search for alternatives as Bitcoin (BTC) approaches $100k. This is evident in the broad market uptick as XRP also surged by 24% in the last 24 hours to hit $1.3.

How Far Can Cardano (ADA) Go?

According to renowned crypto analyst Dan Gambardello, ADA could hit $10 before the cycle ends. Per his observation, the asset has already succeeded in major indicators including the 20-week and 50-week moving averages. Our market data also shows that ADA has broken out of a major resistance range at $0.75-$0.76, indicating that $1 is imminent.

In his thesis, Gambardello highlighted that the asset was in consolidation around this stage in the previous cycle. This implies that there could be a short-term pullback where the asset would “cool off” before launching another upward surge.

Supporting the ongoing market trend with market indicators, Gambardello also pointed out that both the Relative Strength Index (RSI) and the MACD indicate a bullish momentum. Looking into this, we observed that the MACD histogram had taken a position above zero.

Cardano’s Insane Comeback: This ADA Chart is SCREAMING. Intro 00:00
This happened fast 00:30
Insane Cardano monthly candle 1:55
This ADA weekly is weird 3:35
Monitor daily chart for throwbacks 5:45
Short term price action and targets 7:10 pic.twitter.com/9l9f0E8YwB— Dan Gambardello (@cryptorecruitr) November 22, 2024

Meanwhile, another thesis suggests that the $1 point is a crucial psychological mark that aligns with the 61.8% Fibonacci retracement level. A successful breach would send ADA above its all-time high level at $3.12, proceed to reach the $6 level, and later target the $12.00 to $15.00 zone.

For Cardano’s on-chain activities, Coinglass data shows that futures Open Interest (OI) has also increased from the $585.37 million recorded earlier this week to $735 million, marking its highest number since November 2021.

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