Cardano (ADA), Long Ratio Nears All-Time High Amid Whale Accumulation...17% 'Bull Run' This Week

▲ Cardano (ADA)

Cardano (ADA) rose 17% this week amid whale accumulation and bullish signals in derivatives.

According to FXStreet on September 4 (local time), Cardano's derivatives indicators showed a buying-dominated trend. Coinglass's ADA long/short ratio reached 1.10, nearing its highest level in over a month. A long/short ratio above 1 means there are more positions betting on a price increase.

The open interest weighted funding rate also showed a bullish signal. According to Coinglass data, Cardano's open interest weighted funding rate turned positive last Sunday and recorded 0.0087%. A positive funding rate means that long position holders are paying costs to short position holders.

Whale investors continued their accumulation. According to Santiment's supply distribution data, wallets holding between 1 million and 10 million ADA have acquired an additional 60 million ADA since last Sunday. During the same period, the holdings of wallets with 10 million to 100 million ADA showed no significant change. In contrast, wallets holding 100,000 to 1 million ADA sold 10 million ADA.

In terms of technical trends, key moving averages and momentum indicators were noted. Cardano was positioned above the 50-day and 100-day Exponential Moving Averages (EMA) but remained below the 200-day EMA. The Relative Strength Index (RSI) was 64, not reaching the overbought zone, and the Moving Average Convergence Divergence (MACD) turned slightly positive.

On the upside, the Fibonacci 61.8% retracement level at $0.231 was presented as the first resistance. Subsequently, $0.236 and $0.245, where the 200-day EMA is located, are additional resistance zones, with $0.299 above them. The lower support level is the Fibonacci 50% retracement level at $0.213, and the 100-day EMA at $0.198 and the Fibonacci 38.2% retracement level at $0.195 were suggested as the next support zones. In case of further decline, $0.173 and $0.15 are key support levels.

[Article Summary]

-Cardano rose 17% this week amid whale accumulation and improved derivatives indicators.

-Wallets holding between 1 million and 10 million ADA accumulated an additional 60 million ADA since last Sunday.

-The upper resistance levels were presented as $0.231 and $0.245, while the lower key support levels were $0.213 and $0.195.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*