Cardano price has picked up speed lately and has formed a bullish reversal pattern that could result in higher prices in the long run. Most of the gains are being attributed to renewed whale activity on the network. Can Cardano sustain this bullish price action?
Can Cardano Price Keep Up? Whales Buy 19.5 Billion ADA in 24hrs
The ADA price has risen 3.8% in the last 24 hours and is currently trading at $0.3482. Although the rebound could be associated with the general market recovery following the Fed’s 50 basis point (bps) cut on September 18, Cardano whales also contributed to it.
According to data from IntoTheBlock, ADA whale transactions spiked by more than 10% over the past day as whales moved 19.5 billion coins ($6.48 billion).
This metric suggests that large investors, particularly those with $100,000 or more net worth, are reconfiguring their positions in Cardano. When whale transactions rise, the market sentiment around the coin is positive and could translate into a Cardano price surge.
You Can Now Tokenize Gold on Cardano
Gold tokenization is set to launch on Cardano following a partnership between EMURGO and Kinka Gold (XNK). EMURGO is a Cardano founding partner, while Kinka Gold is a subsidiary of a Japanese-based finance service firm.
As the race to top the real-world asset (RWA) tokenization sector heats up, Cardano is making strides to present itself as the go-to blockchain for this $7.16 billion industry.
The RWA industry is projected to hit $16 trillion by 2030, constituting 10% of the global GDP.
These advancements are poised to push Cardano price higher as adoption ramps up. EMURGO also recently partnered with Zilliqa to enhance liquidity in both ecosystems.
ADA price Forecast: Will Cardano Price Reach $0.5?
ADA price has been in a prolonged downtrend since mid-July 2024. However, a double-bottom pattern seems to be forming, suggesting a possible trend reversal.
Key Support and Resistance Levels
- $0.315: This is the key support, where the price recently bounced twice (forming the second bottom), indicating strong buying pressure at this level.
- $0.360: This is the neckline of the double bottom pattern. A breakout above this level would confirm the bullish reversal.
- $0.3938: This is the next significant resistance level and target after a potential breakout from the neckline.
If the price breaks above the $0.360 neckline, this would confirm the bullish reversal, and the measured move suggests a target close to $0.400.
If Cardano price nears $0.315, the current support zone, it would mark a good accumulation zone. However, a break below this would invalidate the current bullish thesis, as the price would be in free fall.
Frequently Asked Questions (FAQs)
Cardano has recently shown a bullish reversal pattern, fueled by increased whale activity. While there’s optimism surrounding a price recovery, sustained movement above key resistance levels will determine if it can reclaim $0.5.
The spike in whale transactions (over 10% increase) suggests that large investors are actively repositioning their holdings in Cardano. This positive sentiment can lead to further price increases if the trend continues.
Cardano is entering the gold tokenization sector through a partnership between EMURGO and Kinka Gold. This initiative aims to establish Cardano as a leading blockchain in the real-world asset tokenization space, potentially increasing demand for ADA and positively impacting its price.
Related Articles
Evans Karanja
Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the video gaming industry. His extensive experience includes collaborating with various startups to deliver insightful and high-quality analyses that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across diverse sectors. Outside of his professional pursuits, he enjoys playing video games and exploring scenic waterfalls.
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/is-cardano-price-ready-to-reclaim-0-5-as-whale-activity-soars/
✓ Share: