ADA, the native token of the Cardano blockchain, is currently showing signs of bullish momentum as whales and institutions are actively accumulating the token. This accumulation trend has sparked speculation among investors about a potential upcoming rally for ADA.
On February 13, 2025, a well-known crypto expert took to social media to highlight the movement of over 70 million ADA tokens by crypto whales from exchanges in the past four trading days. This significant withdrawal coincided with a notable 20% upside rally in the price of ADA, indicating that the accumulation of tokens by whales may be contributing to the recent price surge.
In addition to whales, data from Coinglass, an on-chain analytics firm, revealed that investors and long-term holders have also been accumulating ADA tokens. The firm reported that exchanges have witnessed an outflow of $11.75 million worth of ADA tokens in the past 48 hours, suggesting that there is potential accumulation happening that could drive buying pressure and further upside momentum for ADA.
However, this accumulation has occurred as ADA approaches a crucial resistance level of $0.85. Intraday traders are also showing bullish sentiment, with long positions outweighing short positions. The major liquidation levels on the lower side are currently set at $0.76 for long positions and $0.796 for short positions, indicating the price levels at which traders believe ADA will either hold or break down.
Looking at technical analysis, ADA is facing mild resistance but appears bullish overall. If ADA manages to breach the $0.85 resistance level and close a daily candle above it, there is a strong possibility that the token could surge by 33% to reach $1.13 in the near future. The current price of ADA is around $0.789, experiencing a moderate price increase of 2.35% in the past 24 hours.
While the price of ADA is showing positive momentum, there has been a 40% drop in trading volume, signaling lower participation from traders and investors compared to the previous day. Despite this, the overall sentiment surrounding ADA remains optimistic, with whales and institutions actively accumulating the token and setting the stage for a potential rally in the near future.