Cardano (ADA), the popular blockchain platform, appears ready to challenge its recent downtrend. However, a significant obstacle stands in its path: a massive sell wall of 4.81 billion ADA tokens. This news comes as ADA experienced a modest 3% surge in the last 24 hours, reaching $0.3837. While this uptick is encouraging, its long-term sustainability remains uncertain.
According to data from IntoTheBlock, Cardano recently surpassed a crucial breakeven point of $0.3722. Having overcome this resistance level that plagued it for the past week, ADA now sets its sights on the next hurdle.
A Wall of Resistance Threatens Cardano’s Rally
The IntoTheBlock data reveals that a significant resistance wall awaits ADA around the $0.419795 to $0.479247 price range. Here, a staggering 4.81 billion ADA could potentially be sold by over 432,320 addresses, putting immense pressure on any potential rally. This resistance level adds another layer of difficulty to ADA’s climb back to its 52-week high, especially considering the broader bearish sentiment in the cryptocurrency market.
Cardano’s Development Efforts Continue Unabated
While the price action might not be overly impressive for Cardano’s community, the project’s development efforts paint a different picture. Cardano consistently ranks among the top protocols in terms of developer activity, and the team is actively delivering usable products for its user base. As reported by U.Today earlier this week, Cardano recently released a new game, a significant milestone for the ecosystem, according to Charles Hoskinson, Cardano’s founder.
Whale Activity and Market Trends Remain Key Factors
Whale activity, representing large-volume traders, also plays a crucial role in Cardano’s future. As reported, whale activity on the platform recently skyrocketed by a staggering 1,218%, indicating renewed interest from major investors. With all eyes on ADA, the overall market trend will ultimately be a significant factor in determining the coin’s future trajectory.