Cardano (ADA) has recently drawn attention for its impressive rally to $1.15, representing a 245% gain since November 5, solidifying its status as a top-performing altcoin.
Recent data indicates that large holders, known as whales, have been aggressively accumulating ADA during the price dip, notably facilitated by blockchain analytics firm Santiment.
Top analyst Ali Martinez highlighted this activity, emphasizing whale involvement as a confidence signal from large-scale investors, potentially suggesting continued growth in ADA's rally.
Despite Cardano's upward trend, some analysts suggest that a price retracement below $1 could provide a healthier market foundation for subsequent rallies.
Notably, Cardano trades at $0.99, testing a crucial liquidity zone around $1. Maintaining this level is critical for ADA's broader bullish breakout potential.
Although a temporary consolidation below $1 isn't necessarily bearish, it might aid in establishing stronger demand zones for ADA's next rally as the market focuses on maintaining or exceeding the $1 threshold.
