Cardano is once again drawing attention from large-scale investors. In just 48 hours, over 120 million ADA tokens have been scooped up by whales, indicating one of the most aggressive accumulation periods this quarter. While the price of ADA has stayed mostly within the $0.61 to $0.72 range, this wave of buying suggests that some of the market’s biggest players are preparing for what could be a significant move.

Although Cardano has yet to break out of its long-term wedge pattern, this recent activity among institutional buyers and leveraged traders is beginning to reshape sentiment around ADA’s near-term prospects.

Strong Buy Signals Emerge in Futures and Spot Markets

Several key market indicators support the idea that whale accumulation is more than just a passive investment strategy. On-chain and derivative data show a noticeable uptick in Taker Buy Dominance—a sign that aggressive buyers are currently leading trading activity. When this metric rises, it generally means that market participants are initiating buy orders at the ask price, a bullish signal indicating demand outweighs supply.

The Cumulative Volume Delta (CVD) over the past 90 days also continues to climb, confirming consistent buying pressure. This pattern aligns closely with the timing of recent whale purchases and indicates they’re not just holding tokens but also influencing price dynamics through both spot and futures markets.

Another important metric, the OI-Weighted Funding Rate, recently turned positive, sitting at +0.0109% at the time of reporting. Positive funding rates imply that long traders are paying short traders to maintain positions, reflecting growing optimism in ADA’s upside potential.

Short Sellers Face Liquidations as Price Nudges Higher

As buying pressure increased, short sellers found themselves caught off guard. According to liquidation data, short positions worth over $251,000 were wiped out in recent sessions, compared to just under $9,000 in long liquidations. This sudden imbalance indicates that traders betting against Cardano were forced to exit positions rapidly, creating cascading liquidations that helped push the price up further.

This kind of squeeze event is often seen in early breakout scenarios, where large inflows of capital trigger stop-losses and margin calls for short traders, compounding the bullish momentum.

ADA Tests Resistance Near Wedge Pattern Breakout

At the time of writing, Cardano is trading around $0.7242, brushing against the upper boundary of a long-standing falling wedge pattern. While previous attempts to breach this level have been met with rejection, the current market setup looks more favorable.

Several technical indicators point to building strength. The MACD (Moving Average Convergence Divergence), a momentum indicator, is showing early signs of a potential reversal. If ADA manages to hold above current levels and break out of the wedge structure, it could challenge the next significant resistance level at $0.8446.

Still, traders remain cautious, as the wedge pattern is technically intact until a confirmed breakout with high volume occurs. A rejection at current levels could send ADA back into its previous range, though the underlying fundamentals suggest increasing support.

Why This Accumulation Matters

What makes this round of whale accumulation noteworthy is the broader context in which it’s happening. This isn’t just about large purchases—it’s about coordinated market activity that aligns across multiple indicators: rising Taker Buy Dominance, positive funding rates, strong CVD, and widespread retail interest.

In past cycles, similar behavior has often preceded stronger, sustained rallies. If accumulation continues and price action confirms a breakout, ADA could begin a new uptrend driven by both institutional and retail momentum.

This is especially important for Cardano as it seeks to regain market share in the increasingly competitive layer-1 blockchain space. While other networks have captured headlines with ecosystem development and scaling upgrades, Cardano’s supporters have remained focused on its methodical approach to growth.

What Comes Next for Cardano

The road ahead for ADA depends on several key factors:

• Breakout Confirmation: ADA needs to close decisively above the wedge pattern’s resistance, ideally with volume support, to validate the next leg up.

• Sustained Accumulation: Continued whale interest and positive derivatives activity will be essential to maintain momentum.

• Retail Confidence: Retail traders are showing renewed interest. Maintaining this enthusiasm will be crucial as Cardano aims to attract broader participation.

If these conditions are met, ADA’s price could move well beyond its current range. However, failure to break out might lead to renewed consolidation or even a short-term pullback.

Conclusion

The accumulation of 120 million ADA by Cardano whales is a strong signal that big players see potential ahead. Backed by positive shifts in funding rates, strong Taker Buy activity, and increased retail confidence, this may mark the early stages of a significant price move.

While technical resistance remains in place, the conditions for a breakout are aligning. Traders and investors alike will be closely watching whether ADA can break past its current wedge and turn this bullish sentiment into a full-fledged rally.