Yesterday, Cardano price recorded its most bullish week since March 2022, surging by 76%. The rally was likely fueled by market optimism following Donald Trump’s victory in the 2024 presidential election. Amid this positive sentiment, crypto analysts predicted a “programmed” breakout, suggesting ADA’s November rally may continue.
With the crypto market today, the ADA price trades at $0.59 with an intraday loss of 0.08%. According to Coingecko, the asset market cap holds at $20.7 Billion, and the 24-hour trading volume is at $4.96 Billion.
Cardano Price Programmed for November Surge? Analyst Aims $8
In a recent tweet, crypto enthusiast Polkadot leader shares Cardano price analysis, highlighting a key breakout from the triangle pattern. Over the past six months, the ADA price has resonated strictly within two converging trendlines amid the broader market consolidation.
Theoretically, this sideways could allow market traders to replenish the prevailing momentum before the next leap. On November 7th, the ADA price gave a decisive breakout from the pattern’s resistance trendine. The broader market sentiment supports the bullish narrative amid the U.S. presidential election and Bitcoin’s potential to a new high. Crypto analysts predict the post-breakout could drive the asset to the triangle’s high of $0.8, registering a potential growth of 36%.
ADA Whale Accumulation and MVRV Data Hint at Major Reversal
Despite the prolonged consolidation trend, the Cardano large holders have shown an active accumulation trend since mid-April 2024. According to Santiment data, the whale wallets, with 100 Million to 1 Billion, have raised their holding from 2.06B to 3B ADA, accounting for 45% growth.
Historically, these accumulation trends by large holders have led to a major market bottom and sustained recovery. This surge in accumulation implies growing confidence among large investors in Cardano’s long-term potential and hints at a possible price rally in the near future.
Moreover, the 30-day MVRV (Market Value to Realized Value) ratio has surged 38%, indicating that the average short-term holder are profitable. This metric helps assess whether an asset is overvalued or undervalued relative to its historical cost basis.
Generally, the positive value coincides with the profit booking from speculative traders, which could trigger market volatility and potential pullback. Thus. Cardano price is likely to continue its current momentum for a prolonged period as buyers could soon get exhausted. The anticipated pullback could allow the assets to recuperate the bullish momentum.
On the contrary, if the potential pullback reenters the triangle pattern, the sellers could launch a counterattack and continue to the prevailing consolidation.
Frequently Asked Questions (FAQs)
Crypto analysts foresee ADA potentially reaching $0.8 post-breakout from a 7-month triangle pattern
Large holders have increased their ADA holdings by 45% since mid-April 2024, which historically signals a potential market bottom and suggests confidence in a future price rally
The 30-day MVRV ratio has risen by 38%, showing short-term holders are profitable. While this suggests potential profit booking by speculative traders, it could also lead to market volatility and a possible pullback
Sahil Mahadik
Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/cardano-price-surge-ends-200-day-accumulation-analysts-eye-0-8/
✓ Share: