Whales vs Traders: Who’s Really Moving ADA? 🐳Trader Faceoffs!

by

Key Takeaways

Whales adding 150M ADA is a sign of confidence, while a stock-to-flow surge could allude to tightening supply. However, with 77% of traders long, ADA must reclaim $0.93 to avoid a squeeze. 🚀

Over the last two weeks, Cardano [ADA] whales have accumulated nearly 150 million ADA – a clear indication that these digital sea monsters are feeling rather optimistic about the altcoin’s future. The timing couldn’t be more perfect, especially since retail traders are starting to look like they’ve just seen a ghost. 🤔

As of now, the crypto is floating around $0.85, with ADA hovering near its critical support zones. Whale activity often signals a significant market shift, so it’s no surprise that traders are now holding their breath, hoping for a stronger bullish push on the price charts. 🌊

But the real question is, can these massive inflows counteract the general market uncertainty and propel ADA above its crucial resistance levels? Only time (and maybe a few more whales) will tell. ⏳

Can Cardano sustain momentum within its rising channel?

Cardano has been consolidating inside a steady ascending channel, with $0.78 serving as a major support and $0.93 as the next big test. According to the Fibonacci retracement zones, $0.95 and $1.02 are the critical upside targets. On the flip side, the MACD indicator suggests that the bullish momentum might be running out of steam, increasing the risk of short-term pullbacks. 📉

Still, ADA’s ability to maintain higher lows within the channel could be a sign of resilience. Traders are watching closely to see if Cardano can hold this structure. After all, losing the channel could send the price plummeting back to the $0.70 support level, which would be a bit of a bummer. 😕

Does the stock-to-flow surge signal growing scarcity?

Cardano’s stock-to-flow ratio has shot up like a rocket, recently climbing above 400 – its highest level in months. For those who didn’t major in crypto economics, this ratio measures the circulating supply relative to new issuance. Higher values usually mean tighter supply, which can be a good thing if demand remains steady. 📈

Historically, such conditions have supported higher valuations. However, the market needs to show that this accumulation translates into sustained buying pressure. Otherwise, even a strong scarcity signal might not be enough to lift the price significantly. 🤷‍♂️

This stock-to-flow uptick will be a key indicator of whether ADA can keep its long-term bullish narrative alive and kicking. 🦄

Are leveraged traders setting up ADA for a squeeze?

According to derivatives data from Binance, long accounts are currently in the driver’s seat, with 77% of traders betting on price gains, while only 23% are short. The long-to-short ratio stands at an impressive 3.40, highlighting the overwhelming bullish sentiment. 📊

While this skewed sentiment increases the risk of sudden liquidations, especially if support levels give way, it also indicates strong conviction among traders who are banking on higher prices. 🏦

The immediate direction of ADA depends on whether bullish momentum can hold above $0.85. A slip below this level could trigger a chain of liquidations, leading to a bit of a market panic. 💢

Cardano’s outlook seems increasingly bullish as whales continue to accumulate, scarcity signals strengthen, and long traders dominate. However, the key to sustainability lies in ADA holding above $0.85 and reclaiming the resistance at $0.93. If buyers can maintain this structure, Cardano might just have the momentum to push towards $1.02 and beyond. 🚀

Read More

2025-08-23 03:08