Cardano reached $0.195 for the first time since July 4. ADA’s price was up by almost 26% over the past week, making it one of the stronger performers in a choppy altcoin market.

This rally comes amid declining wallet numbers and growing ecosystem activity, which has raised fresh questions about who is driving demand.

Fresh Buying Pressure

According to Santiment’s latest findings, Cardano has 7,070 fewer non-empty wallets than two months ago. This suggests the recovery has happened while some holders remain on the sidelines.

Rising prices alongside falling holder numbers can indicate stronger buyers are absorbing supply, while retail confidence has not fully returned. The analytics firm found that the rebound also comes as the ecosystem remains active. This includes work on the Leios testnet, Hydra scaling, Mithril upgrades, Pyth integration, and fresh Catalyst funding.

Against this backdrop, large investors have stepped in, accumulating more than 240 million ADA in just five days, according to Ali Martinez. Another market expert, JAVON MARKS, compared the token’s recent price action with its 2020-2021 performance and pointed to a possible move toward $2.90, although that target remains far above current levels.

Meanwhile, Leon Voss said that the asset has also broken above a long-term descending trendline that had capped its price. The analyst, however, highlighted the importance of holding above $0.17.

Another bullish view came from Crypto Patel, who said that ADA has completed one of the deepest corrections in its history and noted that the token has returned to a historical demand zone where the previous major rally began. His estimates show that a move above $0.28 would strengthen the bullish structure. A break above $0.5 would provide further confirmation. A two-week close below $0.08, on the other hand, would invalidate the setup.

DeFi and Developer Momentum

On the DeFi front, Cardano’s total value locked has climbed by about 11% in the past week and neared $70 million from $62.32 million.

Beyond its market performance, it currently ranks second in terms of 30-day developer activity, Chainspect’s data revealed. The network recorded 43 developers over the past 30 days, which places it ahead of Solana’s 21. Ethereum remained far ahead of both, with 475 developers during the same period.

Source: CryptoPotato