Cardano (ADA), the ninth largest cryptocurrency by market cap, has seen an impressive rise in November, increasing by 211% over the last 30 days, according to CoinGecko data.
Cardano tripled its market capitalization, topping the $1.00 mark for the first time since April 2022. ADA has been steadily rising since Nov. 5, reaching $1 for the first time in years on Nov. 22. The advance peaked at highs of $1.15 in Saturday's trading session, where bulls encountered resistance.
Cardano's recent price surge might have been driven by various reasons, including increased whale activity and positive market sentiment.
In a Nov. 22 tweet, Ali Martinez, a crypto analyst, indicated whales' and institutional players' positioning with the volume of large Cardano (ADA) transactions on the network surpassing $22 billion per day.
These large transactions appear to be related to high accumulation levels, according to Ali, adding that whales holding from $1 million to over $10 million in ADA have increased their positions by more than 100% in the past month. In the last 24 hours, Cardano's large transaction volume was up 17.67% to $45.41 billion, or 41.83 billion ADA.
The broader cryptocurrency market saw a bull run with Bitcoin nearing the $100,000 mark. This positive sentiment spilled over into altcoins like Cardano, triggering its surge.
What's next for ADA
At the time of writing, ADA was trading down 11.26% in the last 24 hours to $0.978 as the crypto market fell due to profit-taking.
Cardano crossed the $1 market value on Friday for the first time in over two and a half years. On this date, Santiment reported that trader realized gains were at their highest in eight months. Over $165 million was seen in realized ADA profits, which is the largest day since March 19, 2024. The highest rate of social media discussion towards ADA has occurred after Dec. 8, 2023.
Profit-taking from traders might have also contributed to the ADA price drop; however, ADA remains higher by 36% weekly.
ADA price has fallen below $1; if it does not fall below $0.80, it means that the bulls have turned the level into support. This enhances the chances of a return to above $1. If this happens, this may then move up to $1.25.
Contrary to this assumption, if the ADA price falls fast and breaks below $0.80, this may trigger a drop to $0.63.