- On September 17, ADA whales moved a significant 19.5 billion ADA tokens.
- ADA could rise 20% to the $0.42 level if it closes a weekly candle above the $0.35 level.
Overall market sentiment is bearish at the moment, while Cardano [ADA] data on the chain, such as the Long/Short ratio, Futures Open Interest and OI-Weighted Funding Rate, flash bullish signals.
Despite these bullish on-chain metrics, ADA struggled to gain momentum after experiencing a 1% price drop in the past 24 hours.
ADA looks bullish, on chain
According to the on-chain analytics company Mint glassADA’s Long/Short Ratio stood at $1.0167 at the time of writing, indicating bullish market sentiment among traders.
The Futures Open Interest is up 3% in the last 24 hours and has been rising steadily since early September 2024.
Traders and investors often used the combination of rising open interest and a Long/Short Ratio value above 1 to build their position.
Based on the data, if the Long/Short Ratio is above 1 and the Open Interest is increasing, it suggested that traders were potentially building long positions.
Conversely, if Open Interest is rising and the Long/Short ratio is less than 1, it indicates that short sellers were betting more on short positions.
At the time of writing, 51.2% of top traders had long positions, while 48.8% had short positions, indicating a bullish outlook for ADA.
Furthermore, ADA’s OI-weighted funding rate was positive, further indicating bullish sentiment for the asset.
Whales recent activity
This bullish outlook may be due to recent whale activity. On September 17, ADA whales moved a significant 19.5 billion ADA tokens, worth $6.48 billion, according to on-chain analytics firm IntoTheBlock.
In addition, large transactions (value above $100,000) increased by 10% on the same day. This uptick in whale activity indicated a potential upside rally in the coming days.
Cardano technical analysis and key levels
According to the expert technical analysis, ADA appeared bearish and traded around a crucial support level at USD 0.315.
On ADA’s daily chart, no bullish price action patterns were seen, indicating a possible upside in the coming days.
However, based on the historical price momentum, there is a high probability that the price will rise by 20% to the $0.42 level in the coming days if ADA closes its weekly candle above the $0.35 level.
Meanwhile, the 200 Exponential Moving Average (EMA) indicates that it is in a downtrend as ADA has been trading below this indicator since April 2024.
Read Cardanos [ADA] Price forecast 2024–2025
ADA price momentum
At the time of writing, ADA was trading around the $0.33 level and has experienced a modest price decline of 0.15% over the past 24 hours.
During the same period, trading volume increased by 20%, indicating greater trader participation during the market downturn.