Cardano has noted significant whale activity over the past 24 hours, aligning with the broader market recovery. During that period, the total crypto market capitalization has added another $50 billion, signaling renewed bullish momentum.

As bullish pressure strengthens, ADA appears poised to re-commence an upward trend.

On-chain data shows that Cardano whales, holding between 100 million and 1 billion coins, have acquired 190 million ADA in the past 24 hours. This cohort of large ADA investors currently holds 3.22 billion coins. 

When whales increase their coin holdings, it signals strong confidence in the asset’s future price potential.

Large-scale accumulation like this would reduce ADA’s available supply in the market, which can drive up its price if demand remains steady. The trend indicates a bullish outlook, as whales typically buy in anticipation of higher prices.

ADA’s Network Realized Profit/Loss (NPL) further supports this bullish outlook. At press time, it stands at -15.87 million. 

This metric measures the net profit or loss of all coins moved on the blockchain depending on their acquisition cost. When an asset’s NPL is negative, many investors are holding at a loss. 

This situation is known to reduce the selling pressure in the market, as traders may choose to hold their assets instead of realizing losses, which could support a potential price rebound. 

The steady dip in ADA’s NPL indicates that many holders are sitting on unrealized losses. To avoid selling at a loss, they may choose to hold onto their investments, reducing selling pressure. The increased holding time could, in turn, drive up ADA’s price as supply tightens in the market.

At press time, ADA trades at $0.72. On the daily chart, the coin’s Chaikin Money Flow (CMF) is in an uptrend and poised to cross above the zero line, highlighting the rise in buying pressure.

The indicator measures fund flows into and out of an asset. When it attempts to break above the zero line, it signals a potential shift from selling pressure to buying pressure. 

If the breakout is sustained, it would confirm strengthening bullish momentum in the ADA market and hint at a potential price uptrend. In this case, the coin’s price could rally toward $0.82.

However, if selloffs intensify, this bullish projection will be invalidated. In that scenario, ADA’s price could fall to $0.60. 

The post Cardano’s Supply Tightens as Whales Buy 190 Million ADA in 24 Hours – What Next? appeared first on BeInCrypto.

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