Whales Accumulate 120M ADA As Cardano Prepares For Breakout

• In 48 hours, Cardano whales purchased 120 million ADA tokens, and the price went up to $0.716.
• RSI is showing a positive signal at 61.11, and MACD is in its bullish region.
• A new Cardinal bridge has been launched on Cardano so that Bitcoin users can exchange it directly for Dapps on Cardano.

High-net-worth holders have renewed interest in Cardano (ADA), with recent onchain data showing a massive whale accumulation. In the last 48 hours, crypto analyst Ali notes that wallets holding between 100 million and 1 billion ADA collectively added about 120 million tokens. ADA’s surge in holdings comes in step with a four–day price rally, which shows bullish predictions from large investors. Ali shared a Santiment chart showing the uptrend in whale accumulation, which seems to have picked up, especially from June 8 to June 10.

Additionally, ADA is trading around $0.708, which peaked at $0.716 early on Tuesday. Whale confidence in ADA can be traced to a positive change in the market sentiment, which was, in turn, brought about by the breakout of Bitcoin above $110,000.

Technical Indicators Suggest Further Gains Possible

The recent performance of ADA supports the bullish idea. The asset’s RSI stands at 61.11, indicating it is strong without being overbought. In addition, the MACD lines are still above the signal line, often indicating that the price is increasing.

ADA’s green candlesticks over time, shown in TradingView data, indicate that the uptrend is continuing. In the past 24 hours, volume saw a big increase of 64%, a sign that both buyers and sellers are getting more involved. Cardano is now trading near $0.6579, which is right above a key part of a Fibonacci retracement level associated with the possibility of a turnaround.

Solid resistance is still around $0.58 to $0.61, where several technical factors coincide. This level can act as a starting point for additional gains for the cryptocurrency. The 50-day and 200-day moving averages are close by at $0.724 and $0.82. Reaching above these levels could open the way to long-range goals at $1.0463, $1.2145, and $1.3984.

New Bitcoin Bridge Could Drive Future DeFi Activity

Cardano’s bullish condition is occurring at a time of an important project milestone. Input Output Global (IOG) has introduced “Cardinal,” a non-custodial bridge that allows both Bitcoin UTXOs and Ordinals to be used on Cardano-based platforms. Rather than using traditional Bitcoin wrapping, Cardinal relies on the MuSig2 multi-signature scheme and hashed-timelock contracts, keeping Bitcoin’s base-level security without intermediaries.

The protocol creates one NFT on Cardano per locked UTXO as a representation. While they can be used in farming rewards, loans, or pledged as security, Bitcoin does not change hands. 

BitVMX powers the fraud-proof set up by handling off-chain processing and settling disagreements on-chain. The design seeks to reduce trust-based risks by tackling the loss of over $2.5 billion to exploits in federated bridges.

Cardano’s founder, Charles Hoskinson, supported Cardinal and called it the initial Bitcoin DeFi protocol designed for the network. Despite being in the infrastructure stage, Ethereum, Solana, and Avalanche extensions have already been worked out.