TLDR
- Cardano (ADA) rebounded 13% from $0.7125 support level in 72 hours
- Whale wallets are accumulating long positions anticipating breakout
- Key target is $1.15 liquidity zone after breaking $1 resistance
- Pennant formation suggests continuation of bullish trend
- On-chain data shows increased whale activity supporting price movement
Cardano has recovered from a key support level, posting a 13% gain over 72 hours. The altcoin bounced from $0.7125, which marked the lower boundary of a pennant formation.
This price action occurred after a clean retest of the support zone. The rebound confirmed the technical pattern’s validity for many traders watching the chart.
ADA now approaches the $1 level, which represents both a psychological and technical resistance point. The token needs to clear this barrier to continue its upward movement.
Whale Activity Supports Price Movement
On-chain data from CryptoQuant shows increased whale accumulation during the recent price action. High net worth addresses have been opening long positions in ADA.
These large holders often signal upcoming price movements through their trading activity. Their current positioning suggests confidence in ADA’s short-term prospects.
The whale activity coincides with the technical breakout setup. This combination of on-chain and chart analysis provides multiple confirmation signals.
Smart money appears to be positioning ahead of a potential breakout above $1. The timing aligns with the completion of the pennant pattern.
Target Zone at $1.15
Above $1, ADA faces its next major resistance at $1.15. This level contains what traders call an “equal highs” formation.
The $1.15 zone has rejected previous price attempts, leaving liquidity behind. Prices often gravitate toward these unfilled areas during strong moves.
A successful break above $1 could trigger momentum toward this higher target. The liquidity at $1.15 represents the next logical price objective.
The pennant formation typically leads to trend continuation moves. In ADA’s case, this suggests the prior bullish trend may resume.
Classical technical analysis supports the current setup. Pennant patterns often precede breakout moves in the direction of the previous trend.
The current price structure shows bullish characteristics across multiple timeframes. This provides confidence for traders looking at higher targets.
Market participants are watching for a clean break above $1 with strong volume. Such a move would validate the bullish scenario.
The technical setup aligns with the fundamental on-chain data showing whale interest. This convergence often leads to sustained price movements.
ADA’s recent performance shows it has maintained support at key levels. The $0.7125 level held firm during the recent retest.
Volume patterns during the bounce showed healthy buying interest. This suggests the move has underlying support from market participants.
The current momentum could carry ADA through the $1 resistance if maintained. Breaking this level opens the path to $1.15.
Price action in the coming sessions will determine if the bullish setup completes. A failure at $1 could lead to another test of support levels.
The pennant pattern remains active as long as ADA holds above $0.7125. This support level continues to anchor the bullish case.
Current whale accumulation data shows continued interest from large holders. This activity supports the technical breakout scenario.
ADA’s price sits just below $1 after the 13% rebound from $0.7125 support, with whale wallets continuing to accumulate long positions targeting the $1.15 liquidity zone.
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