Cardano (ADA) price dropped to a two-year bottom of $0.23 on June 10, responding to the recent SEC court filings. However, over the past few days, there has been increased whale activity as ADA regained 20% approaching $0.28 on June 14. Would the ADA price recovery continue in the coming weeks?

Input Output Global (IOG), Cardano’s parent firm, issued a strong response last week, refuting the Security and Exchange Commission’s claim that ADA is a security. On-chain data suggests that Cardano’s (ADA) price started flashing green signals, indicating an imminent recovery.

Crypto whale investors have started betting big on ADA in the past few days, and long-term investors are reducing the sell-action. What are the chances of the ongoing Cardano recovery seeing ADA price reclaim $0.35 in the coming weeks?

Cardano Whales Are Returning to Action

After taking hawkish positions during last week’s massive price retracement, Cardano whales appear to be returning to action. Specifically, between June 8 and June 12, ADA Whale Transactions Count (1M) spiked 41% from 97 to 137 daily transactions.

Whale Transactions Count (1M) metric evaluates the trading activity of millionaire investors by tracking the number of daily confirmed transactions that exceed $1 million in value.

Given the whale’s disproportional financial power, their increased trading activity, as seen above, can soak up the sell-pressure across exchanges. It could inspire other strategic investors to believe that the bottom is in for ADA.

Long-term Investors are Holding Out for More Gains

Despite the recent ADA price gains, long-term investors across the Cardano network are unwilling to sell. The Santiment chart below shows that since the ADA price dropped below $0.27 on June 10, Mean Coin Age across the Cardano ecosystem has been trending upward.

Specifically, on June 12, ADA Mean Coin Age hit 37.25. This is 3% up from the 36.15 that was recorded on June 10. 

Mean Coin Age tracks the trading activity of long-term investors by evaluating how long coins in circulation have stayed in their current wallet addresses.

When Mean Coin Age increases marginally during a price retracement, as seen above, it signals growing confidence across the network.

Currently, nearly 54% of the total Cardano in circulation is controlled by long-term investors, i.e., those who have held for more than 1 year. If the whales stay active and the majority of long-term investors HODL, the ADA price recovery will likely continue.

ADA Price Prediction: Mission to Reclaim $0.35

Considering the above factors, ADA could potentially rebound towards $0.35 in the coming weeks. However, IntoTheBlock’s In/Out of The Money Around Price (IOMAP) data suggests that ADA must first clear the initial resistance at $0.30.

As seen below, 202,000 investors who bought 2.31 billion ADA at an average price of $0.30 could mount a sell-wall. If the bullish momentum prevails, as expected, the bulls could push the recovery towards $0.35.

The bears could invalidate the positive Cardano price prediction if ADA unexpectedly drops below the critical $0.25 support zone. But, the 47,600 investors who purchased 697 million ADA at a minimum price of $0.26 would likely prevent that. Although unlikely, ADA could retrace further towards $0.20 if that support level is breached.