Cardano (ADA) price prediction: Whale selling pressure and technical bullish signals coexist, potential target $1.86

Cardano (ADA) is at a critical Node. On-chain data shows that some Whale investors are selling their large holdings of Tokens to take profits, which has created downward pressure on the price. However, at the same time, ADA's technical indicators show bullish potential and have successfully maintained the key support level. This tug-of-war between bulls and bears has made the future trend of ADA a focal point of market attention.

Whale Selling Pressure and Market Stability

On-chain data shows that in the past two weeks, large investors holding between 1 million and 10 million ADA have sold over 140 million tokens. This behavior is considered a profit-taking move by large investors since the rebound in mid-August. Nevertheless, the price of ADA remains relatively stable, currently trading around $0.88, indicating that new buyers and retail investors are absorbing this supply from the sell-off.

This phenomenon indicates that despite the selling pressure from Whales, there is still sufficient demand for the current price of ADA in the market, which provides a solid bottom support.

Technical analysis shows bullish potential

(Source: TradingView)

Despite facing selling pressure, the technical chart of ADA has emitted encouraging signals:

• Key support level: ADA has successfully stabilized at the support area of 0.85 USD, which coincides with the 20-day Exponential Moving Average (EMA).
• Pattern Breakout: ADA has broken through a descending channel pattern and has formed higher lows in the process, indicating a strengthening of buyer momentum.
• Bullish Indicator: The Parabolic SAR has turned bullish, and the short-term moving average has also started to tilt upwards.

These technical signals collectively indicate that as long as ADA can hold its bullish channel and maintain above $0.80, its downside risk will remain limited.

Fractal analysis indicates higher targets

Market analysts point out through fractal analysis that the current price structure of ADA is very similar to the trends in the cycles of 2023 and 2024. During those periods, long-term consolidation was ultimately accompanied by a parabolic strong rise.

If historical patterns repeat, the potential target for ADA in the coming months could be $1.86. This prediction is based on ADA achieving rises of 260% and 360% in previous cycles. To confirm the validity of this fractal pattern, ADA needs to decisively break through $0.90 and firmly establish above the important psychological level of $1.00.

Price Risks and Key Levels

ADA is currently testing the short-term resistance level of 0.90 to 0.95 dollars. If it can successfully break through, its next targets will be 1.00 dollars and 1.08 dollars. More optimistic predictions suggest that if the upward momentum accelerates, the price could reach 1.20 dollars, with the ultimate target being 1.86 dollars as indicated by fractal analysis.

On the contrary, if ADA fails to hold the support level of $0.85, its downside risk will increase, potentially falling to $0.80, or even near the $0.75 level of the 200-day moving average.

Conclusion

Cardano is at a complex equilibrium point, facing profit-taking pressure from large investors on one hand, while receiving strong support from technical and fundamental positives on the other. The ability of ADA to remain stable during whale sell-offs itself proves the resilience of the market. In the coming weeks, the key will be whether ADA can continue to hold its key support level and ultimately break above $1.00, thus laying the foundation for entering a new growth phase.