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Cardano (ADA), the ninth largest cryptocurrency by market capitalization, has seen a surge in Large Holder Netflows, an indicator that estimates changes in the positions of whales, this week.
According to IntoTheBlock, Cardano Large Holder Netflows have skyrocketed 393%. This remains significant as a positive large holder netflow might imply accumulation from large holders, or whales. This appears to be the case as ADA rallied for seven straight days in the past week.
The broader cryptocurrency market's positive momentum has benefited ADA, which has reached multi-month highs. ADA surged to highs of $0.659 on Sunday, a level last reached in March this year.
Tomiwabold OlajideWhales might be making strategic moves to accumulate ADA at current levels, possibly in anticipation of upcoming developments within the Cardano ecosystem. This trend suggests that large investors might be positioning themselves for potential future gains, reflecting bullish sentiment toward Cardano's prospects.
At the time of writing, ADA was down 2.06% in the last 24 hours to $0.581 as the crypto market hit a pause on its rocketing rally that began a week ago, albeit higher by 74% weekly.
What's next for ADA price?
Across the crypto market, bulls took a slight breather in Tuesday's session, with Cardano dipping to lows of $0.556 after reaching a high of $0.654.
Cardano skyrocketed for seven days at a stretch after hitting support at lows of $0.32 on Nov. 4, embarking on a fresh move. The rally seems to be facing selling near $0.66, as ADA tested highs of $0.659 and $0.654 on Nov. 10 and 12, respectively.
The latest attempt to reach $0.66 resulted in profit-taking; meanwhile, the good news remains that bulls have not given up much ground.
In the event of a pullback, support is envisaged at $0.53 ahead of $0.49. On the other hand, a successful breach past $0.66 would aim for $0.684 ahead of the yearly high of $0.81.
Dan Burgin
Alex Dovbnya