Key Insights:
- Once it finished its fix, the price of ADA was seen hovering at $0.74 and a move up to $0.92 was possible if traders’ confidence remained.
- ADA saw increased whale accumulation, suggesting large holders might have anticipated a price rebound or a breakout past $0.786.
- ADA showed diverging sentiment, with cautious optimism from retail investors and bearish expectations from smart money around the $0.756 level.
Looking at different charts for an informed Cardano (ADA) price prediction, it suggested the altcoin was trading around key levels with bulls and bears engaging in a spirited fight whose results could define the next direction of price.
Cardano Price Prediction Suggests Reversal
Cardano price action showed early signs of recovery after completing a corrective Wave 4 structure and consolidating around $0.74.
If price stayed above $0.70 and managed to breach the wedge formation, it might have moved toward $0.92 and even the $1.10 range, as outlined in the anticipation of a Wave 5.
There was enough volume to drive the market up suggesting a potential breakout above $0.80, which might make bullish traders feel even more confident.
However, if the price faced rejection near $0.80 or fell below $0.68, a decline toward the support zone around $0.60 might have occurred.
In a deeper pullback scenario, ADA might slip further to the high-volume area around $0.50, where historical accumulation levels were previously established.
The RSI being below overbought zones suggested that the market could keep rising, while the Stochastic Oscillator signaled that an upward price trend could be lost if the price weakened below $0.75.
A significant volume level was noted between $0.68 and $0.92. Staying between these levels could indicate if it was more likely that ADA would rise to $1.10.
Whale Trading Stokes Guesswork
Meanwhile, the recent developments by large players in the space shifted the dynamics of ADA in a potentially profound way.
May 16 saw 1 million to 10 million ADA holders accumulating money, resulting in a higher overall amount of ADA held which was 5.75 billion.
With the price of ADA having stabilized at $0.756 after a drop from $0.812, these investors may be ready for a bounce.
Although the price momentarily decreased after this accumulation, the sustained whale interest was a sign of confidence in a possible recovery.
Had ADA regained the $0.786 level and managed to stay above it, this might attract more buyers and started a rally towards $0.812 or more.
Strong enthusiasm from whales could push the price even farther past $0.838.
Alternatively, if the price of ADA fell below $0.746 despite the whales’ actions, it could indicate that the market is weak or that funds are moving away from it.
If this happened, the effect of whale buying would be cancelled out where traders would alert that the price might drop lower.
Varied Opinions Show Uncertainty
Even with ADA trading at $0.756, recent data shows that retail and institutional investors are not on the same page.
Despite the optimistic tone, the score remained low, so it was possible that people were not sure if the price would reach $0.786 or $0.812.
Conversely, the smart money indicators reveal that the market trend seemed bearish to them at -1.85 which might mean they expected the fall and were selling their positions.
Perhaps this gap accounts for a disagreement between those who hope to get into the industry and those who are doubtful about it.
Had institutions continued to push for a bearish outcome, there would be a fall below the $0.746 support level, transferring prices to $0.733.
If what smart money was expecting become either neutral or positive and echoes what retail sentiment expected, the stock could go higher.
As a result, ADA could climb to $0.812 and strengthened its position as a bullish asset.