- 350M ADA sold by whales in just a week, totaling $245M in losses.
- Cardano’s price could surge to $1.88 if it breaks $0.90 resistance.
- ADA faces a critical range between $0.62–$0.64, crucial for short-term recovery.
Cardano (ADA) is experiencing mixed market sentiment as prominent whales liquidate large portions of their holdings. The latest data shows that large addresses holding between 100 million and 1 billion ADA tokens have sold off around 350 million ADA in the past week. This movement, valued at approximately $245 million, marks a significant shift in the balance of ADA’s supply, adding pressure to its price, which has fallen below $0.70.
Despite this, a technical analysis of the ADA price chart suggests that a sharp rally is still possible. Ali Martinez, a renowned crypto analyst, points to a key ascending triangle pattern on ADA’s 12-hour chart.
The price is currently bouncing off the lower boundary of this pattern, indicating the potential for a significant upward move if the coin breaks through the $0.90 resistance level. If successful, ADA could reach $1.88, representing a 100% price increase from its current levels.
Whale Activity and Impact on ADA’s Price
The sudden increase in ADA selloff from whales is an unusual event that has raised questions about the sentiment of large holders. The 350 million ADA sold represents a significant portion of the total market capitalization, and its release onto the market has contributed to the recent decline in price. Since early October, ADA has dropped by over 23%, as whale activity has outpaced retail participation.
On-chain data suggests that large wallets have been strategically withdrawing from ADA. This selloff comes after ADA tested its multi-month resistance level. Despite this, there have been no significant exchange inflows to suggest that retail investors are following the whales. In fact, many retail traders seem hesitant, with ADA’s 7-day loss of 17% signaling reluctance to “buy the dip.”
Technical Outlook and Future Price Projections
From a technical standpoint, Cardano is caught within a large symmetrical triangle formation that has been developing since 2022. The pattern suggests two possible scenarios for ADA’s future price movement.
The first is a breakout above the $0.90 resistance level, which could lead to targets ranging between $1.30 and $1.88. If ADA successfully breaks this critical resistance, the upside potential looks strong. However, failure to hold above the $0.62–$0.64 range could trigger further downside risk, potentially pushing ADA to $0.55 or lower.
Key indicators, such as the Relative Strength Index (RSI), show neutral to slightly bearish momentum, while the Chaikin Money Flow (CMF) is near neutral, suggesting slower capital outflows. Despite the recent whale-driven selling pressure, ADA’s chart indicates that the next few days will be crucial for determining its short-term trajectory.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
