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Market snapshot
Cardano (ADA) showed a tentative comeback after a sharp sell-off, recovering from a weekly low and trading around $0.65. The token had fallen nearly 20% in a single day and about 26% over the past 30 days before the recent relief move. On-chain flows and trader activity suggest both whales and retail investors are re-entering the market, lifting short-term buying pressure.
On-chain signals
Whale accumulation
Addresses holding between 10 million and 100 million ADA increased their collective balance from 13.06 billion to 13.20 billion ADA—about 0.14 billion ADA, or roughly $89.6 million at current rates. This renewed accumulation by large holders supports the recovery narrative and is a key on-chain metric to watch.
Retail participation
Smaller traders are also opening long positions, which has amplified demand. However, on-chain indicators remain mixed: the Smart Money index has declined and hasn’t shown a decisive rebound, signaling caution among professional traders.
Technical outlook
The relative strength index (RSI) has yet to produce a reliable bullish divergence, and price action is forming a descending trendline that contributes to a potential descending triangle pattern. These technical features increase the risk of another leg down if buying momentum fades.
Key price levels
A daily candle close above $0.68 would improve the outlook and could pave the way toward resistance at $0.76 and $0.89. Conversely, a breakdown below $0.61 may accelerate losses toward $0.55. Overall, the current rebound looks fragile and requires consolidation plus rising volume to become convincing.
Takeaway for traders
Monitor on-chain metrics like whale balances and the Smart Money index, watch RSI behavior, and manage risk around the $0.61 support and $0.68 short-term resistance. Volume confirmation will be crucial for a sustainable Cardano (ADA) recovery.
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