Cardano Bulls Eye $2 as Open Interest Hits $1.44B and Whales Scoop Up $157M in ADA

Cardano (ADA) is showing renewed strength as market conditions align for a potential major breakout. Currently trading around $0.78, the cryptocurrency has been consolidating between a firm $0.70 support and a stubborn $0.83 resistance, with traders eyeing the $1 and $2 targets if a decisive move unfolds.

Market data reveals that open interest in ADA derivatives has surged to $1.44 billion, one of the highest levels in recent months. This increase signals growing speculative participation and heightened anticipation of a significant price move.

Historically, elevated open interest can amplify both rallies and pullbacks, making the current setup one of high potential and high risk.

Whales Accumulate as Cardano ETF Approval Odds Rise

In a striking development, crypto whales have acquired 200 million ADA tokens worth $157 million in just 48 hours. This mirrors accumulation patterns from 2021, a period that preceded ADA’s parabolic run. These whales now control 10.3% of the total supply, creating a potential supply squeeze if demand increases.

Adding fuel to the bullish sentiment, Cardano ETF approval odds have climbed from 60% to 75% this week, according to Polymarket. An approved ETF could pave the way for institutional investors, such as pension funds and hedge funds, to gain easier exposure to ADA, potentially driving significant inflows.

Technical Picture Points to an ADA Breakout Setup

Technically, ADA is consolidating above $0.78, with the Relative Strength Index (RSI) in neutral territory, leaving room for upside without overbought pressure. The $0.83 level remains the key resistance to watch.

A breakout above the resistance could clear the path toward $1, with $2 as a longer-term target. On the downside, immediate support lies at $0.70, a level that has held firm since mid-2023.

The combination of whale accumulation, surging open interest, and strong technical support has traders on high alert.

However, with elevated positioning comes the risk of sharper moves in either direction. Funding rates remain neutral, indicating a balanced market, but shifts could happen quickly if sentiment tilts decisively bullish or bearish.

Bottom Line

Cardano is at a pivotal moment. If bulls can break through $0.83, the cryptocurrency could rapidly test $1, with $2 firmly in the crosshairs. For now, the stage is set for a potentially explosive move, making ADA one of the most closely watched assets in the crypto market.