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- ADA’s Long/Short ratio stood at 1.04, indicating strong bullish sentiment among traders.
- Cardano (ADA) could surge 25% to hit the $1.24 mark if it closes a daily candle above $1.
Cardano (ADA) has attracted the attention of crypto enthusiasts following its impressive price rally over the past 24 hours.
Besides ADA, other major cryptocurrencies have also seen price recoveries after notable declines in recent days.
$151M Outflow From ADA Signals Growing Confidence
However, data from on-chain analytics firm Coinglass revealed that despite a continued price drop of over 30% over the past few days, long-term holders appear to be accumulating tokens and profiting from the price drop.
ADA Spot Inflow/Outflow data shows that exchanges across the cryptocurrency landscape saw a significant outflow of ADA worth $150.89 million.
Source: Coinglass
These on-chain metrics help crypto enthusiasts understand the amount of tokens being withdrawn from exchanges. They also indicate a potential upside rebound and an ideal buying opportunity.
In addition to strong participation from long-term holders, interest from traders is also increasing, as revealed by Coinglass’ Long/Short ratio. At the time of writing, the ADA Long/Short ratio stood at 1.04, the highest since mid-November 2024.
A ratio above one indicates strong bullish sentiment among traders.
Technical analysis and key level of Cardano
The growing interest from long-term holders and traders follows the successful retest of a strong support level at $0.80.
According to AMBCrypto technical analysis, ADA successfully retested its past breakout level during the recent price decline, a level it had not revisited before.
The price then rebounded above the crucial $0.97 support level.
Source: TradingView
Additionally, the altcoin formed a bullish hammer candle at the support level, signaling a bullish outlook for ADA holders.
Based on recent price action, if ADA holds above $0.95 and closes a daily candle above $1, it could potentially rise by 25% to reach $1.24 soon.
Read Cardano (ADA) Price Prediction 2023-24
At press time, ADA was trading near $0.99, having seen upward momentum of over 12% in the past 24 hours.
Its trading volume also jumped 30% during the same period, indicating increased participation from traders and investors amid a bullish environment.
