Cardano (ADA) is showing signs of bullish momentum after reclaiming the $0.59 support level, with technical indicators and whale activity suggesting a potential push toward $0.91. Key on-chain metrics reveal accumulating whales and sustained buyer interest, though valuation concerns linger.
Technical Setup Favors Bulls
ADA currently trades near $0.61, testing a descending channel’s upper boundary at $0.67. A daily close above this resistance could trigger rapid gains toward the $0.83–$0.91 range. The 90-day Spot Taker CVD shows persistent buyer dominance, with market orders executed at ask prices reflecting strong conviction .
Whales Accumulate Amid Exchange Outflows
On July 4, a $2.33 million net outflow from exchanges signaled whale accumulation, reducing immediate sell pressure. This movement into self-custody aligns with declining short-term holder activity (sub-1.5% of realized cap), suggesting longer-term holding behavior .
Valuation and Utility Concerns
Despite bullish signals, Cardano NVT ratio spike to 273 indicates potential overvaluation relative to on-chain utility. Sustained growth requires:
• Increased network usage to justify market cap
• Successful scaling solutions like Hydra adoption
• Regulatory-compliant institutional frameworks
Reduced Selling Pressure
Spent Output Age Bands data shows a sharp drop in 1–7 day coin spending (from $100M+ to $11M), indicating diminished short-term profit-taking. This trend, if maintained, could facilitate upward momentum with fewer sell-side interruptions .
Path to $0.91
ADA’s breakout hinges on:
1. Daily close above $0.67 resistance
2. Sustained whale accumulation patterns
3. Improved network utility to support valuation
Failure to hold $0.67 could return ADA to consolidation, delaying the $0.91 target.
