- Cardano is down 3.53% at $0.6581, with trading volume dropping over 20% to $517.32M.
- Whales have accumulated 240 million ADA, pushing total holdings to 3.27 billion tokens.
- Analyst sees a potential breakout in May, possibly driving ADA’s price toward $2.5.
Cardano (ADA) is trading at $0.6581, down 3.53% in the last 24 hours, with trading volume declining over 20% to $517.32 million. Despite this sluggish performance, some analysts believe a significant rally is forming, drawing comparisons to 2024 price patterns.
Crypto analyst Master Kenobi sees similarities between ADA’s current market behavior and its 2024 price action. He points out that, in August last year, Cardano dipped before entering a long consolidation phase. A similar trend is now unfolding following ADA’s drop to $0.49 in early February.
“ADA is currently in a consolidation phase that resembles its behavior from August-September 2024,” Kenobi noted. He added that the lack of new lows since February 3 mirrors the stability seen in the previous cycle.
If this pattern holds, he suggests a breakout could happen in May. “May could bring a massive pump, potentially pushing the price toward $2.5,” Kenobi predicted.
Cardano Whale Activity Fuels Optimism
Signs of growing interest among large investors are reinforcing the bullish sentiment. Crypto analyst Ali Martinez revealed in a March 25 post that whales have purchased 240 million ADA tokens over the past week.
According to data from Santiment, total whale holdings now stand at 3.27 billion ADA. This level of accumulation is often seen as a signal of a potential price surge, as large holders tend to buy ahead of major moves.
Meanwhile, Cardano continues to struggle beneath the key psychological resistance of $0.70. Its price is consolidating, showing a bearish bias, and technical indicators do not yet confirm a strong reversal. The Relative Strength Index (RSI) sits at 37.49, pointing to oversold conditions. Additionally, the MACD shows a negative crossover at -0.0183, suggesting continued selling pressure.
Key Support and Resistance Levels to Watch
Technical levels remain crucial for traders looking for confirmation of a breakout. Immediate support is at $0.6545, and a breakdown below this could send prices tumbling toward $0.5778. On the upside, resistance is set at $0.7030, with a stronger barrier near $0.7545. The pivot point at $0.6824 is a critical zone that could determine the short-term trend.
Crypto analyst Mosesifunanya at CoinMarketCap warns traders to remain cautious. He advises that bearish entries below $0.6539 could target $0.6333, while bullish positions should only be considered after a confirmed break above $0.7030.
Adding to the cautious outlook, derivatives data suggests waning speculative interest. Open interest in Cardano futures has dropped 4.54% to $771.41 million. Additionally, recent liquidations have totaled $3.19 million in the last 24 hours, with $3 million coming from long positions. This indicates that bullish traders have been caught off guard by recent declines.
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