ADA analysis

Despite Cardano’s (ADA) price declining, the network is witnessing a surge in activity. The number of daily active addresses recently surpassed 50,000, showcasing strong engagement even during a market downturn.

ADA Network Sees Increased Activity

According to data from on-chain analytics firm Santiment, Cardano’s daily active addresses hit 50,828 earlier this week. Cryptocurrency analyst Ali Martinez shared this data on X, highlighting the growing interest in the network.

Interestingly, Cardano whales have been accumulating large amounts of ADA. Reports indicate that over 100 million ADA tokens were acquired in just two days last week.

ADA Price Performance

Currently, Cardano is trading around $0.99, following a 12% drop over the past week. This decline comes after an impressive 200% surge that began in November. While the recent correction has affected short-term sentiment, the long-term outlook remains optimistic due to increased network activity and ongoing developments.

Cardano’s Upcoming Upgrades

Cardano is undergoing significant upgrades, with the recent Plomin hard fork bringing several improvements. This upgrade builds on the Chang hard fork introduced in September and enhances the network’s governance capabilities.

Through Plomin, ADA holders can now actively participate in the protocol’s future by delegating their voting power to Delegated Representatives (DReps) or becoming DReps themselves.

Beyond governance, the hard fork also introduces technical advancements. The inclusion of new Plutus primitives enhances smart contract functionality and offers better support for Stake Pool Operators, further strengthening the network.

Conclusion

Despite the recent price decline, Cardano’s growing user activity and upcoming enhancements signal strong potential for future growth. As whales continue accumulating ADA and major upgrades roll out, the long-term outlook remains promising.

Cardano (ADA) has faced significant price volatility recently, keeping it below the critical $1.00 support level. Broader market signals remain neutral to bearish, stifling upward momentum. However, ADA’s long-term holders (LTHs) are playing a key role in stabilizing the price, preventing deeper losses.

Long-Term Holders Support ADA

Cardano’s Price DAA (Daily Active Addresses) Divergence indicator has consistently flashed sell signals in recent days. This trend reflects decreasing investor activity and a lack of meaningful price growth, weakening bullish sentiment.

The current market environment has made investors cautious, with limited buying activity from both retail and institutional players. On a macro level, Cardano’s MVRV (Market Value to Realized Value) Long/Short Difference stands at a highly positive 45%. This suggests long-term holders are enjoying substantial profits and are less likely to sell during periods of uncertainty.

These resilient holders are mitigating the impact of potential sell-offs, providing ADA with a crucial support system. Their steadfastness reinforces confidence that ADA’s price could recover if broader market conditions improve.

Cardano Price Outlook: Consolidation Ahead

As of now, Cardano is trading at $0.91, below the $1.00 mark. Reclaiming $1.00 as a support level is essential but challenging, given the bearish sentiment and reduced market participation.

If current market conditions persist, ADA will likely continue consolidating within the $0.85 to $1.00 range. Historically, this zone has acted as a buffer, allowing investors to stabilize during uncertain periods.

Should bullish momentum return, Cardano could break past the $1.00 resistance level. Establishing $1.00 as firm support would negate the bearish outlook and pave the way for a potential rally to $1.23, signaling renewed investor confidence in ADA’s growth prospects.

Cardano has achieved a significant milestone with the approval of its Constitution, marking a turning point for its governance and growth. During the Cardano Constitutional Conference held in Argentina and Kenya on December 5-6, developers, investors, and ADA stakeholders came together to shape the network’s future.

Cardano’s New Constitution: A Step Forward

An impressive 95% of delegates (60 out of 63) voted in favor of the Constitution. This foundational document will guide the blockchain’s governance, scaling, and technical advancements. Its provisions include sustainable growth strategies, robust decision-making frameworks, and enhanced Treasury management.

Cardano founder Charles Hoskinson described this approval as the culmination of years of work. He highlighted the Constitution’s role in making the network smarter, more resilient, and better equipped to scale.

“Voltaire is so incredibly important. What you did here makes us more capable… Those flags represent millions of people who could join our ecosystem,” said Hoskinson during the event.

https://twitter.com/IOHK_Charles/status/1865447143949193466

Key Highlights of the Constitution

The Constitution aims to strengthen Cardano’s ecosystem by:

• Enabling sustainable growth and decentralization.
• Establishing Treasury policies for better asset management.
• Outlining the creation of legal entities to combat malicious actors.

The Constitution reflects Cardano’s broader vision under the Voltaire era, focusing on community-driven governance and decentralization.

On-Chain Endorsement Next Month

Although approved, the Constitution will move on-chain next month for further review and endorsement by decentralized representatives (DReps). Currently, there are about 800 DReps in Cardano’s ecosystem, with more than half actively contributing.

Cardano’s Rapid Growth

This milestone comes amid Cardano’s impressive growth:

• Transactions: Over 100 million total transactions have been recorded, with 2.65 million new transactions in November alone.
• Projects: Cardano now hosts 1,979 projects, adding 603 new initiatives last month.
• DeFi Surge: Total Value Locked (TVL) in Cardano’s DeFi ecosystem skyrocketed from $228 million in early November to $686 million.
• ADA Price Growth: Cardano’s native token, ADA, has surged 184% in the past 30 days, reaching $1.20—three times its previous value.

What’s Next for Cardano?

The Constitution’s approval sets the stage for even greater achievements. With its focus on decentralization, governance, and innovation, Cardano is poised to solidify its position as a leader in the blockchain space. Investors and developers alike are watching closely as this community-driven network continues to evolve.

Cardano’s native coin, ADA, has surged past the $1 mark for the first time in two years. Currently trading at $1.09, this level was last seen in April 2022.

Over the past 24 hours, ADA’s price has climbed by 24%, with trading volume skyrocketing by 131%. With buying pressure building, the rally could have more room to grow.

Most ADA Holders Are Now in Profit

ADA’s recent rally has pushed a significant portion of holders into profit. According to IntoTheBlock’s data, 71% of all ADA holders (3.15 million addresses) are now “in the money.” This means their current holdings are worth more than the average price they paid.

However, 16% of holders, or 715,230 addresses, remain “out of the money.” These holders acquired their ADA at prices above $1.40 and would face losses if they sold now.

Long-Term Holders Are Taking Action

Santiment data shows a spike in ADA’s age-consumed metric, hitting a monthly high of 86.91 billion on November 22. This metric measures the movement of coins held for a long time. When long-term holders start selling, it often signals a shift in market sentiment.

This recent activity suggests that some long-term holders are taking profits. Despite this, the increased trading volume and positive price action indicate that new buyers are entering the market, supporting the ongoing rally.

ADA Price Prediction: Can It Hit $1.24?

On the daily chart, ADA’s Aroon Up Line is at 100%, a strong signal of bullish momentum. If this trend holds, ADA could climb further toward $1.24, a level last reached in March 2022.

https://twitter.com/Av_Sebastian/status/1860242200824521144

However, if profit-taking intensifies, ADA may retest support at $1. A failure to hold this support could confirm a downtrend, pushing prices to $0.85.

Cardano (ADA) has seen a strong rally following Donald Trump’s election win, signaling a potential push towards an all-time high (ATH). The recent surge has put ADA back on investors’ radar, with renewed interest and optimism surrounding both the token and its founder, Charles Hoskinson.

Market Optimism Fuels ADA Price Surge

The Cardano community has been buzzing with excitement, spurred by positive remarks from founder Charles Hoskinson. In a recent post on X , Hoskinson praised the ADA community as the “best” and noted its top-tier entrepreneurs. He also expressed optimism about the upcoming Voltaire update, predicting it would create the “finest governance system ever assembled.”

When people ask why cardano, this is why. We have the best community and the best entrepreneurs. It's a harder road, but it will change the world. I'm proud of them all, and with Voltaire, they will make the finest government ever assembled by humanity https://t.co/ArXrSJOFoi

— Charles Hoskinson (@IOHK_Charles) November 16, 2024

Hoskinson’s confidence has injected fresh energy into ADA’s price rally. Speculation also grew after he visited Elon Musk’s SpaceX office, suggesting potential collaborations or increased influence in U.S. crypto policy. Additionally, Hoskinson has voiced support for Trump’s administration, aiming to help shape a clear regulatory framework for digital assets, which could benefit the entire crypto sector.

ADA Rallies on Pro-Crypto Sentiment

The broader market has shown optimism, fueled by comments from Ripple CEO Brad Garlinghouse. In a recent FOX interview, Garlinghouse highlighted the recent strong performance of U.S.-issued cryptos, including XRP, ADA, and SOL. He attributed this surge to the anticipation of pro-crypto policies under a Republican-led government.

#Cardano $ADA will reach $6 by July – September 2025! pic.twitter.com/ik3NrNizaN

— Ali (@ali_charts) November 15, 2024

Prominent analysts are also forecasting continued gains for Cardano. Crypto market expert Ali Martinez predicts that ADA could reach $6 by 2025, increasing expectations for a new ATH. Recently, ADA’s price climbed past $0.78, its highest level since March 2024.

Investor Confidence Grows as Futures Open Interest Soars

Investor confidence in ADA is also reflected in the growing Open Interest in Cardano futures. Data from CoinGlass shows a 20% increase over the weekend, indicating strong interest from traders and investors.

With rising optimism and market momentum, many believe that Cardano’s price rally is just beginning. If current trends hold, ADA could be on track for significant gains, potentially reaching a new all-time high in the coming months.

In the past week, Cardano (ADA) has soared nearly 80%, making it the second-best performer among the top 10 cryptocurrencies. The altcoin’s rapid climb has sparked excitement, with many speculating a return to its 2021 peak levels.

Cardano’s Impressive Rally

Cardano’s rally began on November 6, shortly after indicators suggested a Donald Trump win in the U.S. election. ADA’s price surged from $0.33 to $0.62 in just seven days, before pulling back slightly to $0.60.

Despite this dip, on-chain data suggests the rally may not be over. Data from IntoTheBlock shows a spike in the Average Transaction Size, now at $171,588. This increase indicates more involvement from institutional investors rather than retail traders. Historically, when large players enter the market, it often signals further price gains.

Bullish On-Chain Indicators

Another key indicator, the Mean Dollar Invested Age (MDIA), points to continued bullish momentum. The MDIA measures the average age of investments in a cryptocurrency. A decrease in this metric suggests that older ADA coins are returning to circulation, signaling increased network activity.

Historically, when the MDIA falls, it often precedes a price rally. If this trend continues, Cardano could retest the $0.62 mark and potentially climb higher.

Price Prediction: Short-Term and Long-Term Targets

The In/Out of Money Around Price (IOMAP) indicator highlights strong support for Cardano at $0.59, where nearly 1.79 billion ADA were purchased by 87,950 addresses. This suggests that the current support is stronger than the resistance between $0.61 and $0.69, making a move to $0.70 highly possible in the short term.

From a technical analysis perspective, Cardano has broken out of a descending triangle on the weekly chart. This bullish breakout could signal a significant uptrend. If the rally continues, analysts predict a possible 127% increase, pushing ADA’s price to $1.34 in the coming months.

Risks to Watch

While the outlook is bullish, there are risks. If selling pressure intensifies before reaching key targets, ADA’s price may reverse. Traders should watch support levels and be prepared for potential pullbacks.