- Cardano may drop to $0.54 after failing resistance, as analyst Ali Martinez warns of continued bearish pressure.
- Whale accumulation and near-oversold RSI levels suggest a possible rebound, offering hope despite the recent downtrend.
Cardano faces pressure as its price continues to slide from its December 2024 highs, sparking concerns of a deeper correction. According to analyst Ali Martinez, ADA could see drop of 18% if it fails to gain bullish momentum soon.
ADA Faces Continued Downward Pressure
After peaking above $1.30 in late 2024, ADA has experienced a steady decline, with its current price hovering around $0.66 — down approximately 45% from its recent top. Martinez warns that Cardano was recently rejected at the upper boundary of a descending channel pattern, a trend that has dominated its chart for the past six months.
If selling pressure persists, Martinez predicts ADA could fall to $0.63 or even $0.54 in the near term. This bearish scenario is reinforced by the token’s inability to break the $0.74 resistance level — a key threshold that, if breached, might have pushed the price toward $0.88.
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Cardano Whales Accumulate Despite the Bearish Outlook
However, not all signs point to continued losses. Despite the downward trend, whale investors — those holding large quantities of ADA — have been quietly accumulating. In April alone, over 410 million ADA were purchased by these entities, translating to roughly $270 million at current prices.
This pattern of accumulation contrasts sharply with the heavy selling observed earlier in the year. It may signal that large investors see long-term value at current price levels. Historically, whale behavior can precede major trend reversals, as retail traders often follow their lead.
RSI Suggests a Potential Reversal
Further optimism comes from ADA’s Relative Strength Index (RSI), which currently hovers just above oversold territory. An RSI below 30 is typically viewed as a bullish signal, suggesting the asset may be undervalued and primed for a rebound.
While short-term risks remain — including a possible dip to $0.54 — the recent whale activity and favorable RSI readings suggest that a turnaround could be brewing. Traders should watch for signs of momentum, as ADA’s next move could shape its path in the coming weeks.
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