TL;DR

• ADA remains the subject of bullish price predictions, with some analysts eyeing targets above $1.
• Indicators like negative exchange netflows hint at reduced selling pressure, but large recent whale sell-offs suggest a bearish scenario.

Any Chance for a Bull Run?

Cardano’s native token has tumbled by 15% in the past week, currently trading at roughly $0.60 (per CoinGecko’s data). Nonetheless, its die-hard fans and ever-bullish analysts believe a new pump is only a matter of time.

The X user Marcus Corvinus claimed ADA has been trading in a descending channel “with accumulation vibes.” According to them, holding above $0.60 could lead to a surge to $0.85, followed by a subsequent spike to $1.17. 

Rose Premium Signals suggested that the price might decrease to a key support zone that has held twice before, “forming a potential triple bottom structure – a bullish reversal pattern.” The analyst further argued that ADA has been moving within “a large falling wedge,” supposedly preceding breakouts. 

“If ADA holds this area and forms a bullish weekly candle, upside momentum could follow,” they said.

The X user outlined three targets for the near future, with the most optimistic one being a price of $1.43. The last time ADA traded that high was at the beginning of 2022. 

Observing Some Vital Indicators

ADA’s Relative Strength Index (RSI) supports the thesis of a short-term resurgence. Currently, the ratio stands at just over 30, which represents oversold conditions, signaling an incoming rally. 

The exchange netflow has been predominantly negative in the last several weeks, indicating that investors have shifted toward self-custody methods. This means reduced selling pressure, while historically, such development has sometimes been followed by a major bull run.

On the other hand, the whales’ latest actions hint at a bearish scenario. The popular X user Ali Martinez recently revealed that large investors (those holding between 1 million and 10 million ADA) have offloaded 270 million tokens in the span of a week.

Sell-offs of that type increase the selling pressure on the involved coin, as they often signal a lack of confidence. Those actions rarely go unnoticed, and retail investors and smaller holders might follow suit.