Cardano Price Jumps 11% as Whales Close in on 25% Profit

Key Insights:

• Cardano price up 11% to $0.30, but down 54% year-to-date within the broader downtrend.
• Whales accumulated 1.13 billion ADA on Feb. 24, before the breakout, and are now sitting on a 25% profit.
• Active addresses surged 44%, from 14,000 to 20,200, showing organic growth supporting the rally.

Cardano price jumped 11% in the past 24 hours. The token was trading around $0.29. That sounds impressive, but the context matters. Year over year, Cardano was still down 54%. The broader trend remains negative.

This rally occurred inside a longer downtrend. The question was whether whales who bought one day before the breakout will take profits now. They were already sitting on 25% gains from their February 24 entry. That created pressure.

Whales Loaded 1.13B ADA on Feb. 24 Before Breakout

Mid-tier whale wallets made a massive move on Feb. 24. These are addresses holding between 100 million and 1 billion ADA. They increased their collective holdings from 2.33 billion to 3.46 billion tokens. That’s an addition of 1.13 billion ADA. A 48% increase in a single day.

The timing stands out. Feb. 24 was one day before the rally started. The breakout happened on Feb. 25.

Whales positioned themselves exactly when the regular bullish divergence signal flashed. Price had made a lower low between Dec. 31 and Feb. 24. The RSI made a higher low during the same period. That divergence typically signals a reversal is coming.

Whales possibly saw this technical setup and acted before retail noticed. From their Feb. 24 entry, around $0.25, the price climbed to current levels near $0.30. That’s roughly 25% profit in just two days. The question is whether they hold for more upside or lock in gains. History suggests large holders don’t wait long when profits come this fast.

However, a small hidden bearish divergence, price making lower highs, and the RSI making higher highs, is now showing up. It has formed between Dec. 22 and Feb. 25, and could lead to a pullback. It is now important to keep tracking if whales look to exit or not.

Active Addresses Surge 44% as Cardano Price Stays Organic

Network activity tells an important story. Active addresses on Cardano hit a low of 14,000 on Feb. 23. By Feb. 26, that number jumped to 20,200. That’s 44% growth in just three days.

This matters because it shows organic participation. Retail users are engaging with the network. Transactions are happening. It’s not just whales moving tokens around.

Genuine adoption creates a healthier foundation for price moves. Leverage-driven rallies collapse quickly. Organic growth can be sustained.

The spike in active addresses aligns with the price rally. Users tend to become more active when prices rise. FOMO brings people back. But the growth rate being this sharp suggests more than just existing users waking up. New participants may have entered. Whether they stick around after the initial excitement fades is a different question.

OBV Signals Profit Risk as Whales Up 25%

On-Balance Volume shows a concerning pattern. Between Feb. 11 and Feb. 24, Cardano price trended slightly higher. But OBV made a lower low during the same period. That creates hidden bearish divergence. It suggests selling pressure is building underneath even as the price climbs.

This type of divergence often precedes pullbacks. Buyers push the price up, but volume doesn’t support the move. Eventually, selling overwhelms the weak buying. Price reverses.

For ADA price now, the risk is clear. Whales who bought 1.13 billion tokens on Feb. 24 are already up 25%. That’s a significant profit in two days. Taking gains makes sense. If large holders start exiting, retail buyers won’t be able to absorb the supply. Price would drop back down.

The technical picture showed critical levels ahead. Cardano needed a daily close above $0.30 to confirm a bullish structure. Breaking that opens the door to $0.38. But if the price falls below $0.27, weakness starts.

A drop under $0.25 invalidates the entire setup. Cardano price rally might have room to run. Or, it might end with whale profit-taking.