Saad Ullah
Cardano (ADA) just pulled off a stunning 15% rally in 24 hours, absolutely destroying short traders who got caught in a brutal 4,146% liquidation imbalance.
Cardano has been on fire lately, joining the crypto party with a massive 15% price jump that left short traders licking their wounds. The surge was so sudden and violent that it triggered one of the most savage liquidation events we've seen in a while - a mind-blowing 4,146% imbalance in just one hour.
Here's what went down: According to CoinGlass data, short traders got absolutely wrecked to the tune of $274,620 in a single hour. Why? Because ADA decided to break through the 200-day exponential moving average like it was made of paper, catching everyone betting against it completely off guard.
The breakout pushed Cardano past the $0.64 support level, and now it's sitting pretty at $0.7260 - that's a solid 15.49% gain in 24 hours. Trading volume went crazy too, jumping 55.84% to hit $1.76 billion. Meanwhile, long traders barely felt a scratch with only $6,470 in liquidations. Talk about a one-sided beating.
ADA Price Rides Bitcoin's Coattails to Victory
This wasn't just some random pump - it's part of a bigger crypto rally that's been lifting pretty much everything. The whole market surged 6.29%, with Bitcoin smashing through to a new all-time high above $118,000. When Bitcoin goes nuts, altcoins like Cardano usually follow, and that's exactly what happened here.
The correlation between ADA and Bitcoin has been a blessing for Cardano holders. Bitcoin's strength provided the perfect backdrop for ADA to make its move, and short traders who thought they could fade this rally got steamrolled in the process.
What's Next for Cardano (ADA) Price?
From a technical standpoint, things are looking pretty sweet for ADA. The Bollinger Bands are showing decreased volatility, which often happens right before a big move. Breaking above that 200-day EMA is a big deal - it's like getting the green light to head higher.
The next big target everyone's watching is the psychological $1 level. But here's the thing - ADA might hit some turbulence around $0.75 where profit-takers could jump in. A lot of folks have been holding through some rough patches, so they might want to cash out some gains at that level.
Still, if Cardano can push through that potential resistance, the road to $1 could open up pretty quickly. The technical setup looks solid, and with the broader market showing strength, ADA has a real shot at making it happen.
The whole liquidation drama just shows how wild crypto can get when sentiment flips. One minute you're shorting, thinking you've got it figured out, and the next minute you're getting margin called. That's crypto for you - brutal but exciting.
For now, Cardano holders are sitting pretty, but the real test will be whether this momentum can stick around. If ADA can hold above $0.64 and keep building on these gains, we might be looking at the start of something bigger.
Saad Ullah
