As of press time, ADA has continued its upward trajectory with a 6% rise, currently trading at $1.0818. The surge in price is accompanied by a substantial increase in trading volume, which has risen by 150% to $6.7 billion over the past 24 hours. This spike in activity indicates a robust market interest and sustained buying pressure.
On-Chain Metrics Bolster Price Action
Data from Santiment reveals a significant uptick in Cardano’s on-chain metrics. The number of daily active addresses surged to nearly 94,000 on November 22nd, a figure not seen in several months. This increase in active wallets and interactions within the Cardano ecosystem suggests growing utility and investor confidence.
Additionally, Cardano’s Network Realized Profit/Loss soared to approximately $94 million during the last trading session. This rise indicates that many investors have capitalized on the recent price movements, aligning with the broader bullish market sentiment that ADA has consistently benefited from over recent weeks.
Social Volume and Sentiment Enhancement
Cardano has also experienced a notable increase in social volume, which measures the number of mentions and discussions surrounding ADA across social media platforms. On November 22nd, social volume spiked to over 1,000, a level not observed in months.
Historically, such heightened social activity has correlated with positive price movements, attracting new investors and reinforcing bullish sentiment within the community.
Technical Indicators Signal Continued Strength
From a technical analysis perspective, Cardano’s breach of the $1 mark is supported by several strong indicators. The Relative Strength Index (RSI) placed ADA in the overbought region, reflecting substantial buying pressure. Additionally, the Moving Average Convergence Divergence (MACD) indicator showed diverging lines upwards, signaling ongoing bullish momentum.
In addition, ADA successfully broke through the 200-day moving average, previously a strong resistance level, which now serves as support. This technical milestone positions Cardano favorably to maintain its upward trend, assuming broader market conditions remain supportive.
The Fibonacci retracement tool further underscores ADA’s bullish trajectory. Having surpassed the 61.8% retracement level of its prior downtrend, ADA is approaching the next critical Fibonacci target near $1.10. The subsequent major resistance level is identified around $1.20, providing clear benchmarks for potential price movements.
Holder Dynamics and Market Sentiment
According to IntoTheBlock’s data, 71% of ADA holders, amounting to approximately 3.15 million addresses, are “in the money,” meaning their holdings are currently profitable. Conversely, 16% of holders are “out of the money,” with their investments below the current market price. This distribution suggests a strong base of investors with unrealized gains, potentially contributing to sustained market momentum as long-term holders reposition their portfolios.
Future Outlook
Analysts remain optimistic about Cardano’s prospects, with some predicting that ADA could target prices between $6 and $15, contingent on continued positive market dynamics and investor confidence.
However, there is also caution that intensified profit-taking could lead ADA to retest the $1 support level or experience a dip to $0.85 if buying pressure wanes.
