- Whale investors are piling into the Cardano market and have added a staggering 420 million ADA to their holdings in April alone.
- Analyst Jonathan Carter spotted a falling wedge, hinting at a potential breakout toward $0.84–$1.18.
- The speculation about an incoming Cardano ETF has also hit odds of 75% on PolyMarket, in a show of interest from all sectors.
Despite facing resistance around major price levels, Cardano appears to quietly be gaining bullish momentum. Whale investors are piling in, and according to recent insights, this class of investors has added 420M ADA to their holdings in April alone. While the altcoin struggles to break past the $0.74 resistance level, technical patterns show that a price surge may be on the horizon. Here’s what to know.
Big Money Is Betting on Cardano
In the previous month, April, ADA whales amassed over 400M more in the past month. At current prices, this amount of cryptocurrency is worth roughly $289 million, and these investors have now increased their combined holdings from 12.47 billion to 12.89 billion ADA.
This buying spree from these investors shows that they have a great deal of conviction in Cardano’s long-term value. Historically, when these large holders accumulate an asset in large volumes, it shows a major shift in market sentiment. Their actions can affect price direction, especially in a market where retail sentiment is currently unclear.
Momentum Builds Amid Technical Strength
Cardano’s Relative Strength Index (also known as the RSI) has climbed to its highest level in nearly two months. The RSI now sits comfortably above the neutral 50 mark and is pointing towards an increasing amount of bullish momentum. This uptick in technical strength shows that Cardano could be gearing up for a breakout.
Moreover, analyst Jonathan Carter recently drew attention to a falling wedge formation on Cardano’s charts. The analyst pointed out that a breakout from this formation could lead to upswings towards targets from $0.84, $1.00, and $1.18.
According to the charts, the pattern is similar to rallies between November and December of last year, when prices shot up from $0.30 to above $1.30. The market’s current conditions also appear more bullish than in previous months, with Cardano likely to retake the $0.74 resistance level that has capped its price for weeks.
Derivatives Market Confirms Bullish Bias
It’s not just the spot market that shows optimism. Coinglass shows Cardano’s funding rates have held steady in positive territory since the middle of April. For context, a positive funding rate means that bullish traders are increasing their positions and gaining ground against bearish ones. In essence, more investors expect prices to rise. This bullish tilt works hand in hand with the whales’ accumulation behavior and means that a major sentiment shift could be underway.
Overall, all of the factors outlined above show that Cardano could be ready for a major bullish breakout in the coming months. The speculation about an incoming Cardano ETF has also hit odds of 75% on PolyMarket, in a show of interest from all sectors.
Still, it is worth noting that a failure to hold support levels like $0.66 could derail this scenario. As always, traders and investors should watch price action and look for confirmation before making big moves.
