Cardano price online has recently declined be exchanged for 1.1 US dollars. In particular, the last three months have been marked by the extraordinary rise of Cardano which saw it break above $1 for the first time since early 2022 and peak at $1.3 on December 3, 2024.
Although Cardano has been above the $1 mark since then, the price action in the last 24 hours has been characterized by a decline of 3.77% along with the rest of the crypto market. However, data on the chain shows that the decline is on giving crypto whales another chance to double down on their holdings.
An increase in whale activity indicates continued confidence in Cardano
An increase in whaling activity on the Cardano network has sparked another collective spirit among the group of custodians, noted crypto analyst Ali Martinez marking the development on the social media platform X. Martinez noted that 687 transactions with a value of at least $1 million were registered within the last 24 hours, indicating a growing interest from large investors.
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According to data from the analytics platform on the Santiment chain, this increase in activity is particularly notable, as whaling activity had been declining since the beginning of December. Notably, Cardano's whale activity declined from around 894 transactions on December 2nd, just before reaching the current high of $1.3 in 2024, to around 240 transactions between December 8th and December 12th.
Whale activity is one of the biggest indicators of a network's performance and its price outlook. Although the whale activity could also indicate that whales are leaving their positions, the current market sentiment indicates that they are gathering. Additionally, the increase in whale activity is a sign of continued confidence in the cryptocurrency price outlook.
The Path to $2: What's Ahead for Cardano?
As of now, the recent rejection at $1.11 has caused a decline in the price of Cardano to reaffirm the support at $1. At the time of writing, Cardano (ADA) is trading at $1.03, although there is still the risk of another move to the downside.
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However, the increase in whale transactions is one bullish signal that could propel the digital currency higher due to its activity against selling pressure.
The next target remains a final break above the $2 threshold, which may still be achievable before the end of the year. To reach the $2 price target, which is about 94% from its current price level, would require a general bullish sentiment in the crypto market in general. Interestingly, crypto analysts at Changelly have given a more cautious outlook with a year-end ADA price of $1.15.
Nevertheless, Cardano has more than tripled its value in the past six weeks and could will this momentum resume anytime soon to $2 if the bulls can continue to hold above the $1 mark.
Featured image created by Dall.E, chart from Tradingview.com
